Thursday, September 9, 2010

It's time to do something about China's cheating

One of our friends at the Economic Policy Institute, Rob Scott, has a good explainer about China's currency manipulation at The Huffington Post.

Rob explains

Currency manipulation by China and several other Asian nations makes their goods artificially cheap and makes U.S. exports artificially expensive in China and in world markets.

It matters because

The growth of the U.S. trade deficit with China between 2001 and 2008 eliminated 2.4 million U.S. jobs; Ending currency manipulation now could create at least one million badly needed jobs.

Next week, when Congress gets back, there'll be a couple of hearings on tough legislation to crack down on China's currency manipulation.

Stay tuned.