applesauce
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China's Share of Reserves in U.S. Dollar Is Reduced - WSJ.com
Chinese dollar reserves are half of what they used to be according to this.
I've known it's useless as a weapon since I bothered to look into it years back, it is the 'CHINA STRONG!!!1!'ers and fearmongerers that have tried to characterize it as a weapon that China could use with no domestic ill effects. I'm not sure/doubt that China's government believed the propaganda, but that half of it is gone should put to rest any half knowledgeable speculation from either side that it could be used as a viable one.
as i thought u dont even understand what the video is trying to say and you accused others of propaganda and not understanding the issue.
china did not release half of its dollar reserves into the market, this never happened(except in your diluted mind), what happen rather, was that while the reserves continued to increase, less of the new reserves was in dollar.
to make it simple for you, china was and is continuing to buy dollars(with minor exceptions here and there), at a lesser rate but buying none the less. the rest of that video talks about how the US could cope with a china that buys less. NOT about what happens if china all the suddenly dumped over a trillion dollars into the market, which imo, would lead to serious financial meltdowns across the world.
The Sinodependency Index: Chindependence | The Economist
^^
Corporations with the biggest exposure to China.
The loosers of any sort of confrontation that would lead to a shooting war. Their assets would most likely get nationalized.
China also cannot flood the market with US $. It is a guarantee of some sorts.
as you say, the corporations assets disappears not to mention billions in profits and maybe a shooting war starts that costs millions of lives, now explain why those corporations would want that to happen? some one said its easy to convince them to leave china and by doing so, defeat china with this "soft power" and that somehow the US would be unhurt if china dumped 1 trillion dollars into the world market tomorrow. i remain unconvinved that this is "easy" to do.
An accurate description imho:
Link
In other words, nothing can happen to that foreign exchange reserve. And the ever rising gold reserve too.
Anyhow, try to take this as debate, not as me wishing you starve to death. Thanks.
i m not taking this personal at all and dont not think u wish for me to starve, relax, that said, i remain unconvinced by the arguments presented by certain members which is:
1.
us can basically defeat china(or stop its economy rise and turn it back into a basket case) by convincing US and US-allied investors and corporations to stop entering the Chinese market. and that this would be easy.
2.
if the Chinese suddenly dumped over a trillion dollars into the market(for instance if it was clear the US is activity attempting to destroy the Chinese by financial means and china hits back), the US would be financially fine.
my counter argument is that,
1,
it would not be easy, not in the least to drive investor away from china without some serious repercussions. the companies have no good reason to leave and indeed demanding that they leave would break all kinds of law including everything the WTO stands for.
2,
dumping dollars would be disastrous for everyone and no the world could not ajust right away and no, everyone will not be alright, but this would only be an option, if say, the US does demand everyone pull out of china.