Is it strange that the US is helping to build the economy of a Communist country like China?

Answer 1

* Corrupt corporations and politiicians have selective ethics and values. Money and the craving for power influence these ethics and values by an inordinate number of blatantly false and faulty rationales. *We are wasting our brave military's lives and billions of dollars that would be better spent on U.S. citizens to "make Iraq a Democracy" while many of our main allies in the Mid-East are either absolute monarchies(Saudi Arabia) or constitutional monarchies (Bahrain and Kuwait). If the U.S. is so keen of making the world full of democracies, why do we not target these countries also. Everyone, except for those with their heads buried in the sand like ostriches, knows that the real reason for the Iraq "war" is OIL. *"You can fool some of the people all of the time and all of the people some of the time, but you can not fool all of the people all of the time" (Abraham Lincoln). Apparently, the U.S. powers that be have never heard this famous statement or they don't believe it. However, they will eventually find out that is is true. NOTE FROM MARCY: If the U.S. helps China it's highly possible the mortgage rates will go up, real estate will bubble and a recession could take place. In other words America and China are going around in circles like two old dogs not trusting each other. It's a high risk! Why US speaks softly with China on trade The new Treasury secretary worries that China's economy is more fragile than it appears. By Mark Trumbull | Staff writer of The Christian Science Monitor America's economic point man is taking the tack of cooperation rather than confrontation on a visit to China this week, despite a widening trade deficit and disputes over everything from pirated movies to barriers that hinder US exports of auto parts. It's a softer tone driven by China's rising economic power, by the interdependence of the two nations, and by a pragmatic approach to financial diplomacy. But for Henry Paulson, America's new Treasury secretary, it also reflects an assessment of risk that may come as a surprise to many Americans. For all its rapid strides, China is in some ways a fragile economy. That, trade experts say, is a danger not just to leaders in Beijing but to the world economy. "If reform stalls, the Chinese economy will stall, and that is in nobody's interest," says Daniel Griswold, an economist at the Cato Institute, a libertarian think tank in Washington. Paulson "understands that our interest is in a thriving, liberalizing China." China has committed itself down the road to an increasingly market-based economy. Its surging output of electronics and other goods has been stunning - and unsettling to rival manufacturers in other nations. But this doesn't mean China's path of progress will necessarily remain smooth. Among the challenges: an outdated financial system heavy on bad loans, state-owned businesses in distress, a volatile social rift between prosperous urbanites and the rural poor, and the looming burden of a rising elderly population. Paulson outlined China's challenges Secretary Paulson pointed to many of these challenges in a major speech before heading overseas. "The biggest risk we face is not that China will overtake the US," he said, "but that China won't move ahead with the reforms necessary to sustain its growth and to address the very serious problems facing the nation." Paulson's stated goals for the US-China economic relationship have much in common with those of his predecessor, John Snow. Both put the issue of a more flexible Chinese currency high on their list - a move that could bolster the exports of struggling US manufacturers. But Paulson's tone appears at once softer and more ambitious. He is not simply calling for change from Beijing officials. He expects to work with them regularly, building on the ties he established there in his career as a globe-trotting investment banker. Wednesday, Paulson and a Chinese official announced the creation of a new high-level dialogue designed to deal with long-term issues between the two nations. At the same time, he has dampened expectations for any quick victories on issues such as the yuan-dollar exchange rate. All this reflects a tempered approach to China at a time when critics continue to press the Bush administration for punitive measures if China is not responsive. "Time is running out. I hope that Hank returns with tangible results," Sen. Charles Schumer (D) of New York said in a statement last week. He and Republican Sen. Lindsey Graham of South Carolina say they may have "no choice" but to call for a vote on their proposal that China face a 27.5 percent tariff in the US if Beijing fails to act on the currency issue. His sentiment is backed up by many small- and medium-size manufacturing companies. Kevin Kearns, president of the US Business and Industry Council, said this week that America needs a get-tough approach. Use China's reliance on exports to the US and the threat that those sales could be lost, he suggested, to leverage concessions from Beijing. A trade war if US pushes too hard? OPENING GESTURE: Treasury Secretary Paulson (left) and China's Vice Premier Wu Yi issued a joint statement Wednesday. He's in Beijing for key economic talks. ELIZABETH DALZIEL/AP Many economists, however, caution that a trade war could harm both nations and the world economy. Their arguments include: