Author Topic: China's Economic Plan in Short  (Read 197 times)

Offline pearl_white

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China's Economic Plan in Short
« on: September 23, 2015, 01:16:01 PM »
RMB devaluation was pre-planned and pre-agreed with US of A and IMF.  It was negotiated well beforehand.

It has nothing to do with boosting exports because a cheaper currency didn't tranlate to lower product price in importing countries. see US of A data.

The sole purpose was political - a devalued currency (up to RMB 8 to 1 USD) was to boost profits on chinese firms.

why?  because when firm's profits increase, it supports the whole nothing of PE, etc. and gives confidence to stock market.  Go read Japanese economic history.

Only for 2 years before the politburo cannot manage it anymore and 2017 will see the bursting of the Chinese economy.