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  • Inflation, Deflation and the U.S.-China Relationship [View article]
    Anyone ever contemplate that the Chinese can always spend that $2 Trillion reserve either buying raw materials and/or paying workers for those infrastructure projects to replace jobs lost from US trade?

    Everyone seems to assume that they will sell those dollars for another currency when they might just as easily spend it on supplies like oil, steel, copper, concrete, etc.

    They might continue taking $US in trade, but there's no reason for them to keep piling them up in the vault.
    Oct 06 11:57 am |Rating: +1 0
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