http://www.nytimes.com/2010/03/20/opinion/20iht-edbottelier.html
So pretty much a lot of China bashers are all getting hyped up again because we are nearing the April deadline for the US Treasury to announce whether or not "China manipulates its currency for unfair trade advantage." There are a lot of myths revolving around China's currency relationship with the US, and this article covers a few of them.
1: China's growth depends on exports- false
It only accounts for about 1%
2: China’s consumption is not growing fast enough- false
Its working just fine
3: Revaluation of the renminbi will help the United States- false
It has little effect on the relationship
Overall, China’s nominal exchange rate is much less important than the domestic policy adjustments needed in both countries.
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This is a very important issue and could affect the entire world. China sends its products all over the world and if China was ever convinced to let their currency float it would change the trade landscape. There are a lot o falsities about China because people have not really looked into China and attempted to look beyond the communism and look at the numbers.
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