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2 answers

**an appreciation of the chinese currency would help the U.S. deficits? **

Some of the big multinational companies have been and
are already taking advantage of the Yen vs Dollar
differences. The U.S. stock market and the Government does not look to kindly on such activities as that.

1 Chinese yuan = 0.128604131 U.S. dollars

Now that sounds like an exchange rate where a profit can be made. Deficits belong to the Government (People).

Check out the Bloomberg report (URL).

Have a pleasant day.

2007-01-29 05:01:29 · answer #1 · answered by zurioluchi 7 · 0 0

The chinese government does loan money to the us gov. for the war effort in Iraq. thats how the us dollar remains high. if they didn't the value of the us dollar would go down south like that of the Mexican peso.

2007-01-29 08:41:40 · answer #2 · answered by Bruce 4 · 1 0

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