US Bill to Prevent China Currency Manipulation

I thought this was rather interesting. There's currently legislation making it's way through Congress that would urge countries not to devalue their currency.

"After clearing a procedural hurdle Monday night, the Senate is expected to pass a bill later this week that would impose penalties on countries whose currency is now undervalued."

http://politicalticker.blogs.cnn.com/2011/10/04/boehner-calls-china-currency-bill-%E2%80%98dangerous%E2%80%99/

(Sorry for the lack of a hyperlink, GS doesn't like this URL for some reason)

What do you think of such a proposal, OT? Should we try to prevent countries from artificially devaluing their currency to gain a competitive trade advantage?

Impose what kind of penalties?CRS98

linky for the lazy

I don't know what to make of it. I really don't see how the US can truely do this... seems like it would pissoff China...

"Their" currency? Do you mean the U.S. currency? BranKetra

linky for the lazy

I don't know what to make of it. I really don't see how the US can truely do this... seems like it would pissoff China...

LORD_BLACKGULT

I doubt this will have any effect.

linky for the lazy

LORD_BLACKGULT

[QUOTE="LORD_BLACKGULT"]

linky for the lazy

BranKetra

Link

I'm going to try and figure out how to get around GS URL errors...

Edit: Success! I was experiencing this issue:

Link

I'm going to try and figure out how to get around GS URL errors...mattbbpl

[QUOTE="CRS98"]Impose what kind of penalties?mattbbpl

Hah, fat chance of that working. China owns a giant chunk of our debt and our manufacturing practically depends on them. I think import tarrifs coupled with a scaling back of our debt and an investment in American manufacturing might make a difference, but just slapping down tarriffs right now would do nothing of value. Even then I doubt one country imposing tariffs would do much good, what is needed is a coalition dedicated to ending these tactics.

[QUOTE="mattbbpl"]

I'm going to try and figure out how to get around GS URL errors...LJS9502_basic

[QUOTE="CRS98"]Impose what kind of penalties?mattbbpl

[QUOTE="mattbbpl"][QUOTE="CRS98"]Impose what kind of penalties?dagreenfish

America should focus more on it's own financial problems rather than China's "currency manipulation".

Is anyone ready for a potential trade war? Might very well be in the making.

[QUOTE="LJS9502_basic"]

[QUOTE="mattbbpl"]

I'm going to try and figure out how to get around GS URL errors...mattbbpl

And how would this law affect China exactly? Last time I checked the US congress passed bills that affected....*gasp* the US. This would be like theAustrian congress passing laws that affect Albania.

EDIT: Unless I'm reading this wrong and it's a law that will put a tax....or something on shipped goods.