The new Obama administration came to power through a number of rescue package, the U.S. government appears poised to rescue the market with heavy blows. However, these rescue package will be of much use it? Save some of the crisis caused by banks and financial institutions, said the moral past it?
U.S. economist Joseph Stiglitz, Romer and financial investor Soros are on Obama's rescue plan put forward an objection. They believe that the U.S. government should "re-hit drums and other open\continue to fill the black hole they caused.
Indeed, the U.S. government faced "save" and "not save" dilemma. If you do not inject liquidity into the financial system, a new debt crisis would break out, the economic crisis will deepen. If the old financial system to inject liquidity into the debt relief to those stuck in the mire of the body, it is bound to bite the bullet on top of a huge "moral hazard." Moreover, these financial firms will be more blatant in the future - something happens anyway,learn the most professional information, government pocket lot, actually.
The U.S. government was so hesitant, the U.S. economy will not quickly out of recession. Moreover, the United States to root out of the crisis,learn the most professional information, we must reflect on its policies over the past 20 years,learn the most professional information, need to adjust the direction of economic development, out of personal debt that rely on expanding the economic development model.
Obama has shown that certain government policies, regardless of whether the U.S. economy quickly out of crisis, China has a large number of manufactured exports to the U.S. market to promote economic growth model has encountered a huge problem. U.S. finds China's growing foreign exchange reserves is a contemporary "mercantilism" and it is also China's "manipulation" the result of the exchange rate. Therefore, China is facing pressure on RMB exchange rate will be increasing, but also other international organizations such as the International Monetary Fund, the experience America, Europe,learn the most professional information, Japan and other developed countries,learn the most professional information, including the common pressure.
How China's economic development?
Obama "buy American" policy, will lead the U.S. bailout plan to avoid benefit to Chinese enterprises. The crisis was part of Americans to reflect on, to change them to "spend more" habit, this will directly affect China's exports to the U.S.. In this context,learn the most professional information, we have to think the eyes on China's current exports to the U.S. market led model of economic growth have little possibility in the future.
This pattern of economic growth of China's biggest challenge faced by the profits of manufacturing companies will continue to decline. In 1997,learn the most professional information, due to a large number of Japanese to withdraw from Southeast Asia, "Asian crisis" broke out in 1998, Japan's exports to the region fell by more than 30%, capacity utilization and investment growth is slow enough lead Japan's economy sharp decline in profits the Japanese economy into a recession, not only led to worsening economic conditions in East Asia, in turn, increased the level of Japan's economic recession.
The second major challenge faced by China is shrinking foreign exchange reserves. China's trade surplus and foreign investment makes the introduction of the growing foreign exchange reserves, and the dollar assets, they account for the bulk of the reserves, at current market analysis, the dollar value of assets in the future there will be a great risk. U.S. Treasuries are still the largest stock of international capital markets, liquidity best products, but many people predicted, the U.S. Treasury bubble is the last bubble, and if the bubble burst, the dollar will plummet, China's foreign exchange reserves will escape the fate.
If the dollar depreciation, is not only a large number of China's foreign reserves to shrink, and manufacturing exports will face greater pressure. If you do not accept the terms of the profit decline,learn the most professional information, China will lose existing market share, but if we accept lower profits, Chinese enterprises will gradually fall into the debt crisis.
To this end,learn the most professional information, China must reconsider the development strategy in the fight against trade protectionism and strive not to lose the old U.S. and European market share, we should actively explore new external markets, and increase efforts to develop the domestic market. China can also take a period of crisis and rip up the technology behind the excess production capacity, invest in the development of new technologies,learn the most professional information, energy conservation, low-carbon economy to achieve greater progress, the Chinese economy experienced this global crisis can a higher level. Loading,, please wait ......