Q: Why Wen Jiabao desperately wants to push for China's
A: Because it can blunt the comparative edge of Chinese
enterprises which will in turn boost American companies comparative
advantage in Chinese market.
“Financial reform in China will help
reduce one of the main advantages China’s state-owned enterprises
have in competing with US companies,” Treasury Secretary
Timothy Geithner said in a San Francisco speech on Thursday.
Q: Why Wen Jiabao is so eager to promot Wenzhou model?
A: Because it is the quickest way to blow
China's financial bubble which will allow it absorb
as much American exports as possible (as for what will
happen once the bubble bursts, Washington fully respects
Chinese people's rights to return
to a stone-age living standard.)
Geithner lauded a pilot program launched
last month in Wenzhou, allowing new private lenders to lend
to private enterprises, as “a step in the right direction,”
according to the prepared text of the speech.
He called for interest rates that
better reflect market forces to foster a more efficient financial
sector, and which in turn could boost US exports to China.
Q: How Wen Jiabao becomes the only foreign national among
the top ten heroes who saved the financial situation of the
1% in the US?
A: Because he has helped to reset the rules in favour of
America at the expense of Chinese people.
Geithner gave a sweeping summary
of “significant progress” the US has made in addressing imbalances
with China since 2009, particularly on trade.
US exports of goods to China have
almost doubled, growing twice as fast as exports to the rest
of the world, he said. (AFP)
Q: Does Washington also help China to increase exports to
America as people usually do in a fair game?
A: Washington has
initiated numerous legal battles against China and successfully
reduced Chinese exports to America.
The Treasury secretary noted Washington’s
actions to protect American companies from unfair competition,
citing 36 antidumping and countervailing duty orders slapped
on traded imports from China. (AFP)
Q: Does US government think it has sucked
enough economic benefits from Chinese people?
A: That's not cowboy style.
Geithner raised long-standing US
concerns about the undervaluation of the Chinese currency,
the yuan, saying that Beijing’s recent exchange-rate reforms
still leave the correction “incomplete.”
“The Chinese currency needs to appreciate
further against the dollar and the other major currencies,”
he said, noting that would help to address “a source of unfair
competition with China’s trading partners.” (AFP)
Q: Will this time Chinese
government stand up to Washington to protect Chinese
A: Not a chance, or Washington will not keep cooperating
Jiabao government in its internal power struggle. A warning
sign has already been issued yesterday blindly, sorry, bluntly.
“China appears to be prepared to
negotiate new rules on official export financing with the
United States and other major exporters so that US goods
and services will be competing based on quality and price
rather than the terms of foreign government financing,” Geithner
务卿希拉里·克林顿将联同财长盖特纳在北京，与中国国务院副总理王岐山及国务委员 戴秉国，共同主持这一轮的对话。 (BBC)
More at US
urges financial reform in China ahead of talks