>This complaint about the Yuan being undervalued seems weird to me.
>The Yuan is pegged to the dollar. If the Yuan is "undervalued" does
>this not proceed from the fact that we are printing too many
>dollars? Why is it necessarily their "fault" that the Yuan is
>"undervalued." ?
The peg is precisely the point - those who think the yuan is undervalued think the peg should be broken and the currency allowed to float higher. The peg itself is seen by China-bashers as an unseemly state intervention in natural market relationships.
The US is about the only country that China runs a significant trade surplus with. So claims about this being a systemic problem look overstated.
You've got to wonder how this is playing in Bentonville.
Doug