This is a step in the right direction. Of course, as with most - TopicsExpress

This is a step in the right direction. Of course, as with most things that most governments do, it is a smaller change from the status quo than should be done, but be that as it may, it is a good thing. The Yuan should trade at about 4 to the dollar if free trading were allowed between the two currencies. China, of course, does not want this to happen, because it would cheapen the value of their US Dollar holdings in terms of domestic purchasing, and because it would devastate their export industries. But you can only remain dramatically far from purchasing power parity for so long before market forces bring you back. The Chinese have gotten rich off of several factors, among them currency market manipulation, slave labor, and utter disregard for the environment.

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