The relationship between the U.S. and China will never again be the same as it was before the Obama visit.
It will now be one of a powerful banker attempting to impose tough restrictions on a deeply troubled borrower. At first the changes will be subtle, but as the U.S. keeps begging for money, China will exert growing control.
For their intent is to protect their massive investment in U.S. government debt. They want to stop the U.S. from running up ruinous deficits, which will cause hyper-inflation and the collapse of the dollar.
But it's not just China but all of humanity that calls to us as Americans to save our dollar. For the global economy and the world's financial security is at stake. We must raise our voices now for moral and fiscal sanity or mankind for years to come will bear the consequences of our silence.
Dick
Saturday, November 21, 2009
Friday, November 20, 2009
The Obama Trip To China Was A Disaster
According to The Wall Street Journal, "Obama Hits a Wall on His Visit to China,"* "... Mr. Obama was met by a salvo of criticism from top banking regulator Liu Mingkang, who argued that the U.S. was threatening the global recovery with near-zero interest rates that, he said, were inflating speculative bubbles around the world."
This message from a top Chinese official bodes especially bad because China is the U.S.'s largest lender, a lender so big that the U.S. can no longer pay its bills without them.
This means they have the leverage not only to dictate to Mr. Obama but to directly affect U.S. policy. And China will do everything it can to prevent the U.S.'s wild and irresponsible spending from destroying the value of its U.S. investments.
They are not claiming Mr. Obama is at fault for there is blame enough to go around, from Congress and to the prior administration. This was a confrontation long in the making as China has been loudly appealing for the U.S. to control its spending for at least the last 11/2 years without success. It was as if no-one was listening.
Although I called Mr. Obama's China trip "a disaster," the opposite is also contained within. We don't have the will to control our spending and so our major lenders will now help us to control it.
Going forth, at first subtly, China will affect lobbyist created expensive Congressional legislation, such as the health care bill, for America can't afford to pay for it. And it will quietly impact out of control military spending on weapons and wars.
China will also influence Social Security and Medicare spending for it's not their fault the U.S. didn't secure those vital programs, but it is their money that pays many of our bills.
Without comment, even little things likely irritated them, such as Mr. Obama having a mile long motorcade. Our nation is going broke and this far over-sized motorcade showed the Chinese people the U.S government doesn't have a clue.
Through our government's lobbyist controlled corrupted practices, its war mentality and financial irresponsibility, our nation has sunk into financial dependence. China in affect, told Mr. Obama the emperor [America] has no clothes.
At the end of Mr. Obama's four day China visit, he and Chinese President Hu Jintao sat together for a media "availability." As they briefly posed for pictures, neither man commented, nor did they take questions. This is highly unusual.
But behind them were U.S. and Chinese flags, ironically both were probably made in China, as are so many other goods sold in America.
Ten years ago, would you have thought such a great nation as the U.S. could fall so far and so fast? Yet it is not too late to resurrect our nation, however it will require you and I and others to raise our voices demanding moral and fiscal sanity.
But even if they don't listen to us, don't lose hope. As happened during the Great Depression, we will come together as a people to help each other through the hard times to come.
Dick
11/21/09 Update: Yesterday, Germany's Finance Minister, Wolfgang Schaube stated European fears the U.S. is setting off market bubbles that could crash any global recovery. This is what China's chief bank regulator, Liu Mingkang just told President Obama and the rest of the world.
* "Obama Hits a Wall on His Visit to China," http://online.wsj.com/article/SB125857743503654225.html
This message from a top Chinese official bodes especially bad because China is the U.S.'s largest lender, a lender so big that the U.S. can no longer pay its bills without them.
This means they have the leverage not only to dictate to Mr. Obama but to directly affect U.S. policy. And China will do everything it can to prevent the U.S.'s wild and irresponsible spending from destroying the value of its U.S. investments.
They are not claiming Mr. Obama is at fault for there is blame enough to go around, from Congress and to the prior administration. This was a confrontation long in the making as China has been loudly appealing for the U.S. to control its spending for at least the last 11/2 years without success. It was as if no-one was listening.
Although I called Mr. Obama's China trip "a disaster," the opposite is also contained within. We don't have the will to control our spending and so our major lenders will now help us to control it.
Going forth, at first subtly, China will affect lobbyist created expensive Congressional legislation, such as the health care bill, for America can't afford to pay for it. And it will quietly impact out of control military spending on weapons and wars.
China will also influence Social Security and Medicare spending for it's not their fault the U.S. didn't secure those vital programs, but it is their money that pays many of our bills.
Without comment, even little things likely irritated them, such as Mr. Obama having a mile long motorcade. Our nation is going broke and this far over-sized motorcade showed the Chinese people the U.S government doesn't have a clue.
Through our government's lobbyist controlled corrupted practices, its war mentality and financial irresponsibility, our nation has sunk into financial dependence. China in affect, told Mr. Obama the emperor [America] has no clothes.
At the end of Mr. Obama's four day China visit, he and Chinese President Hu Jintao sat together for a media "availability." As they briefly posed for pictures, neither man commented, nor did they take questions. This is highly unusual.
But behind them were U.S. and Chinese flags, ironically both were probably made in China, as are so many other goods sold in America.
Ten years ago, would you have thought such a great nation as the U.S. could fall so far and so fast? Yet it is not too late to resurrect our nation, however it will require you and I and others to raise our voices demanding moral and fiscal sanity.
But even if they don't listen to us, don't lose hope. As happened during the Great Depression, we will come together as a people to help each other through the hard times to come.
Dick
11/21/09 Update: Yesterday, Germany's Finance Minister, Wolfgang Schaube stated European fears the U.S. is setting off market bubbles that could crash any global recovery. This is what China's chief bank regulator, Liu Mingkang just told President Obama and the rest of the world.
* "Obama Hits a Wall on His Visit to China," http://online.wsj.com/article/SB125857743503654225.html
The Disuniting Of America
"Unemployment skyrocketed ... The deficit is becoming frightening ... We are reduced to begging China to buy our debts and getting lectures from other nations on our financial disarray," Kevin Brady, Senior House Republican on the joint economic committee told Treasury Secretary Tim Geithner yesterday [11/19/09].
"The public has lost all confidence in you," added Mr. Brady, suggesting Mr. Geithner should resign.
Mr. Geithner rejected the criticism, blaming Congress for "the legacy of crises you've bequeathed this country," in reference to Congress' vast spending of money America doesn't have.
What both men said is true and surveys also tell us the public has lost confidence in Congress as well. But the U.S. is fighting for its financial survival and as a people, we need to unite to solve our staggering problems.
Instead of squabbling in public, these gentlemen should resolve their differences privately and when the testimony begins, discuss solutions, reach agreement and take action now before the situation grows worse.
These personal insults show how inept the government is. You and I and others must get involved and encourage our representatives to respect each other and before it's too late, move now to cut off printing money out of thin air and end the spending of money we don't have on bailouts, weapons and wars.
For our voices are important and if we do not use them, in our silence our nation will complete its financial collapse.
Dick
"The public has lost all confidence in you," added Mr. Brady, suggesting Mr. Geithner should resign.
Mr. Geithner rejected the criticism, blaming Congress for "the legacy of crises you've bequeathed this country," in reference to Congress' vast spending of money America doesn't have.
What both men said is true and surveys also tell us the public has lost confidence in Congress as well. But the U.S. is fighting for its financial survival and as a people, we need to unite to solve our staggering problems.
Instead of squabbling in public, these gentlemen should resolve their differences privately and when the testimony begins, discuss solutions, reach agreement and take action now before the situation grows worse.
These personal insults show how inept the government is. You and I and others must get involved and encourage our representatives to respect each other and before it's too late, move now to cut off printing money out of thin air and end the spending of money we don't have on bailouts, weapons and wars.
For our voices are important and if we do not use them, in our silence our nation will complete its financial collapse.
Dick
Sunday, November 15, 2009
Why President Obama Went To China
Mr. Obama's visit to China is one like no other U.S. President has ever made. It is of a huge out of control debtor trying to assure his biggest creditor of his financial sanity and pleading for more money.
It's like you having run up your debts to a frightful level and going to your banker to assure this person you can pay back those debts and that you are qualified to borrow more money and by the way, you need some more of it immediately.
If posing for pictures, you would both smile at the cameras and say nice things about each other. But in private, you would plead your case and not discuss that person's politics or suggest he or she could lose some weight.
This is the position Mr. Obama is in. He might like to discuss China's civil rights but he can only go downhill in attacking its treatment of what it calls "criminals" and it in turn could criticize the U.S.'s treatment of what it calls "terrorists."
Mr. Obama would hopefully want to discuss Darfur, in Sudan for China has a huge trading relationship and considerable influence with the Sudanese government. Two million people from Darfur have fled their homes, most of them to squalid refugee camps. The United Nations estimates 300,000 have died from violence or disease. All of this at the hands of the Sudanese government.
President Obama might want to discuss environmental issues [both nations have a great deal of room for improvement here] and product safety issues.
But reality is the focus will be on the already mountainous and rapidly growing U.S. deficits, the printing of money out of thin air to cover some of those deficits and the sliding of the dollar's value, potentially into eventual collapse.
China is afraid its investments in U.S. debt will become worthless and that the U.S. flooding the world with dollars is already causing wild speculation in stocks and real estate, setting up an even bigger global economic collapse.
From China's perspective, if we haven't secured Social Security, Medicare and other vital programs, that's our problem, not theirs. They fear we will go broke.
China wants the U.S. to slash its spending, raise its interest rates rather than give away virtually free money to lenders and other speculators and to get its financial house in order now. We too want that to happen for the crash they fear will impact all of us everywhere.
It is not too late for us to act. Please raise your voice and call for fiscal sanity such as an end to huge wasteful spending on weapons, wars and bailouts and an end to our printing money out of thin air. We can have a great future but like prior generations, we must unite and pay the price necessary to attain it.
Dick
It's like you having run up your debts to a frightful level and going to your banker to assure this person you can pay back those debts and that you are qualified to borrow more money and by the way, you need some more of it immediately.
If posing for pictures, you would both smile at the cameras and say nice things about each other. But in private, you would plead your case and not discuss that person's politics or suggest he or she could lose some weight.
This is the position Mr. Obama is in. He might like to discuss China's civil rights but he can only go downhill in attacking its treatment of what it calls "criminals" and it in turn could criticize the U.S.'s treatment of what it calls "terrorists."
Mr. Obama would hopefully want to discuss Darfur, in Sudan for China has a huge trading relationship and considerable influence with the Sudanese government. Two million people from Darfur have fled their homes, most of them to squalid refugee camps. The United Nations estimates 300,000 have died from violence or disease. All of this at the hands of the Sudanese government.
President Obama might want to discuss environmental issues [both nations have a great deal of room for improvement here] and product safety issues.
But reality is the focus will be on the already mountainous and rapidly growing U.S. deficits, the printing of money out of thin air to cover some of those deficits and the sliding of the dollar's value, potentially into eventual collapse.
China is afraid its investments in U.S. debt will become worthless and that the U.S. flooding the world with dollars is already causing wild speculation in stocks and real estate, setting up an even bigger global economic collapse.
From China's perspective, if we haven't secured Social Security, Medicare and other vital programs, that's our problem, not theirs. They fear we will go broke.
China wants the U.S. to slash its spending, raise its interest rates rather than give away virtually free money to lenders and other speculators and to get its financial house in order now. We too want that to happen for the crash they fear will impact all of us everywhere.
It is not too late for us to act. Please raise your voice and call for fiscal sanity such as an end to huge wasteful spending on weapons, wars and bailouts and an end to our printing money out of thin air. We can have a great future but like prior generations, we must unite and pay the price necessary to attain it.
Dick
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