US-China economic imbalances "beat" was awarded the hypocrisy

United States Morgan Stanley company Chairman Stephen Asia · Roche recently wrote an article saying that the United States in global economic imbalances "beat China" is a kind of hypocrisy because the United States itself is also responsible for dealing with this issue, and that China is willing to take measures to adjust their economic structure, and to achieve the global economy to make its own contribution to rebalance.

According to Xinhua, the article says that because of high unemployment, and the end of this year will be held in the United States Congressional midterm elections, "beating China" in the may even further, but it is a kind of hypocrisy. From 2001 to 2008, United States current account deficit and the proportion of gross domestic product amounted to negative 5% on average, significantly contributed to important global economic imbalances. Simply accusing China is a major global economic rebalancing "stumbling block" argument doesn't hold water.

The article says, after the era of global economic crisis and then balance cannot be separated from the rest of us together, but China's prospects for economic rebalancing than the United States. In the foreseeable future, the United States increase savings rates and balance of payments of prospects. United States domestic savings, economic development dependent on foreign capital, have to keep high current account deficit to attract foreign capital inflows.

The article says, after the era of global economic crisis and then balance cannot be separated from the rest of us together, but the Chinese economy and balanced in addition, the United States also face trillions of budget deficit. There is reason to believe that China will take measures to promote the economic structure and balance. The international financial crisis prompted China to adjust to economic growth, China's economic growth will be dependent on foreign markets more to rely on the domestic market. China's independent economic rebalancing, world significance.

Notification on the RMB exchange rate, the article considers, in the past 20 years, with the currency exchange rate adjustments to address the global economic imbalances of the results were not good. In the 1980s, "Plaza agreement" lead Yen dollar, causing flooding Japan liquidity and asset bubbles inflated, Japan's economy has yet to recover. Adjust the currency exchange rate on the resolution of global economic imbalances limited role, the economic structural adjustment on rebalancing the global economy than to adjust the currency exchange rate.

The article points out that States should balance to achieve global economic growth to make their own contribution. In China has initiated economic rebalancing, attempts to force Chinese counter-productive measures obviously stupid. United States and other Western countries need to "take a good look in the mirror", addressed to their own economic imbalances.