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"Jim Carter" wrote in message ... "NOYB" wrote in message nk.net... Nearly 18% of Chinese exports go to the US. Since we're discussing the effect that Chinese aggression against Taiwan would have, then it's safe to say that China would lose the following trade partners in the event of a war with Taiwan: US, Japan, and Taiwan. Together, those three countries make up 3 of China's top 5 trade partners...and almost 44% of China's total exports. It's also likely that China would lose the following as trade partners: Hong Kong, S. Korea, and Germany. That'd account for 70% of China's trade. Keep in mind, that this says nothing about the effect that our corporations would have in pulling their factories out China. I do think your calculations are very incorrect. If the PRC would be taking Taiwan back into the fold, they don't lose Taiwan as a trading partner, then gain it. Japan would not be lost as a trading partner for China as Japan has too much to lose with their trade with China to worry about the little bit with Taiwan. Also, the Japanese people are opposed to any war and their government would topple if there was any hint of an impending war. The exact same can be said of Germany as well as the rest of the European Economic Community. Where have you been when you are mentioning Hong Kong in your calculations? Hong Kong "is" a part of the PRC and has been since July 1, 1997. The American corporations pulling out of China would have almost no effect as they would be immediately replaced by corporations from The European Economic Community, Brazil and from Japan. This is the silliest statement of your post. Who would the EU, Brazilian, and Japanese Corporations sell their products to if the US quit doing business with China? First of all, overnight, China would lose almost 20% of its export business. There'd be a huge surplus of goods with nobody to sell them to. Secondly, the EU and Brazil have unemployment rates that are around 10%. (Germany's is up over 12%) Suppose the EU and Brazil rushed to fill the void left by American companies. How high would that push the current rate? 15% unemployment? 20%? As Henry Ford pointed out, you have to pay your workers enough that they can afford to buy your product. The Chinese don't; consequently, they must rely on export. Who will they export to? Not the US. And not the EU because the EU will have too many unemployed people to purchase the goods. If the US pulled out of the Chinese economy, we'd be hurt, particularly in the short term...but they'd be devastated to a point from which they'd never recover. |
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#2
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"NOYB" wrote in message ink.net... This is the silliest statement of your post. Who would the EU, Brazilian, and Japanese Corporations sell their products to if the US quit doing business with China? Why, China of course. First of all, overnight, China would lose almost 20% of its export business. There'd be a huge surplus of goods with nobody to sell them to. These goods would be immediately rerouted to other nations who could and would immediately purchase them at a discount. Secondly, the EU and Brazil have unemployment rates that are around 10%. (Germany's is up over 12%) Suppose the EU and Brazil rushed to fill the void left by American companies. How high would that push the current rate? Your knowledge of international trade needs to be upgraded. The trade with China and the increased prescence of the European Economic Community and Brazil into China would reduce the unemployment rate in those countries NOT increase it. 15% unemployment? 20%? As Henry Ford pointed out, you have to pay your workers enough that they can afford to buy your product. The Chinese don't; consequently, they must rely on export. Now you are really showing you have limited knowledge of China. It has the fastest growing economy in the world and it has the largest consumer base in the world. Who will they export to? Not the US. True..... And not the EU because the EU will have too many unemployed people to purchase the goods. Not true. Read again the trade figures for the EU If the US pulled out of the Chinese economy, we'd be hurt, particularly in the short term... True...... but they'd be devastated to a point from which they'd never recover. China would not be devastated at all if the US pulled out of the Chinese economy. The US would be replaced by others that are willing to participate in Global Trade. Jim Carter |
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#3
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"Jim Carter" wrote in message ... "NOYB" wrote in message ink.net... This is the silliest statement of your post. Who would the EU, Brazilian, and Japanese Corporations sell their products to if the US quit doing business with China? Why, China of course. The Chinese have no money to buy the things that the US manufacturers are producing. Despite having more than four times our population, there's still a $30 billion trade deficit between our countries. China should be buying 4 times as much from us as we're buying from them, yet they're buying less than half as much. First of all, overnight, China would lose almost 20% of its export business. There'd be a huge surplus of goods with nobody to sell them to. These goods would be immediately rerouted to other nations who could and would immediately purchase them at a discount. The other nations are already in economic hardship with record unemployment right now. You're advocating EU, Brazilian, and Japanese companies moving to China, which would only drive up the unemployment rate even higher. Unemployed people don't buy very much. Secondly, the EU and Brazil have unemployment rates that are around 10%. (Germany's is up over 12%) Suppose the EU and Brazil rushed to fill the void left by American companies. How high would that push the current rate? Your knowledge of international trade needs to be upgraded. The trade with China and the increased prescence of the European Economic Community and Brazil into China would reduce the unemployment rate in those countries NOT increase it. You're trying to tell me that when a German corporation moves its factory to China, that reduces the unemployment rate in Germany? You may want to rethink that. 15% unemployment? 20%? As Henry Ford pointed out, you have to pay your workers enough that they can afford to buy your product. The Chinese don't; consequently, they must rely on export. Now you are really showing you have limited knowledge of China. It has the fastest growing economy in the world and it has the largest consumer base in the world. China's economy may or may not be the fastest growing. we're now realizing that the Chinese may be concealing their true economic numbers (like they did with the SARS outbreak): http://www.latimes.com/business/la-f...ck=2&cset=true Who will they export to? Not the US. True..... And not the EU because the EU will have too many unemployed people to purchase the goods. Not true. Read again the trade figures for the EU I read them. China exports 15% more to the US than to all of the EU countries combined: http://www.chinaembassy.org.in/eng/zgbd/t172961.htm Germany, the Netherlands, the UK, and France are the only EU countries to make a list of China's top 10 trade partners...and they place 5th, 6th, 7th, and 10th respectively on that list. Combined, they import $28.955 billion from China...which is $25 billion *less* than what the US imports alone from China. http://www.uschina.org/statistics/fo...rade_2004.html If the US pulled out of the Chinese economy, we'd be hurt, particularly in the short term... True...... but they'd be devastated to a point from which they'd never recover. China would not be devastated at all if the US pulled out of the Chinese economy. The US would be replaced by others that are willing to participate in Global Trade. Not a chance. As the US economy goes, so goes the World economy...but we're better at bouncing back. |
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