krugman.blogs.nytimes.com - 5/21/2009
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I liked this David Leonhardt article about the China-US economic relationship. But I do have a problem with this passage:
The most obviously worrisome part of the situation today is that the Chinese could decide that they no longer want to buy Treasury bonds. The U.S. government's recent ...
ft.com - 5/25/2009
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ft.com —
China’s official foreign exchange manager is still buying
record amounts of US government bonds, in spite of...
Beijing’s increasingly vocal fear of a dollar collapse, according to officials and analysts. Senior Chinese officials, including Wen Jiabao, ...
(more)
FT.com / China - China stuck in ‘dollar trap’
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This Is Getting Damned Annoying: Will I Ever Be Allowed to Disagree with Paul Krugman Again About Anything? (Niall Ferguson Edition)
J. Bradford DeLong's Grasping Reality with All Eight Tentacles —
... China and the liquidity trap - Paul Krugman Blog - NYTimes.com: By the way, I’ve had a chance to see the transcript of the PEN/ NY Review event, and I don’t think I was misrepresenting Niall Ferguson’s position... ...
SDRs, China and UK commercial real estate
FT Alphaville —
... consumption, which is declining at a tremendous rate and the government-spending stimulated economy, which is currently expanding on steroids. If that’s true, it could mean China has, for the time being at least, realised that trying to resuscitate exports is a redundant exercise. Accordingly, the old model of co-dependence between China and the US - where China keeps its currency low to remain price competitive in the West - no longer works for either country. As Paul Krugman wrote earlier last week, this is largely down to the liquidity trap facing China, which in turn ...
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