The Financial Crisis: China Lectures the West

Under the headline The Crisis Reinforces Chinese Bankers in the World, the China Times wrote yesterday, August 9:

“…Gone are the days when China was under pressure from Western criticism because of its failure to respect human rights. Today, Beijing is with great delight to share their economic advice. Commenting on the market turmoil, the People’s Daily, organ of the Communist Party, called on western countries to ‘take their courage’ to reduce their debt.

“‘If the developed countries refuse to take responsibility, there will be serious consequences on the stability and development of the global economy,’ said the Xinhua news agency after the downgrade of the U.S. debt rating.

“On Saturday, August 6, Xinhua had already criticized Uncle Sam and denounced the country living on credit. ‘In order to cure their addiction to debt, the U.S. must restore the principle of common sense that we must live within our means,’ wrote the Chinese agency.

“China called Washington to make cuts in its ‘massive military spending’ and its over-inflated costs of social system. ‘China now has all rights to require the United States to address their structural problems of debt.’

“…China has created its own rating agency, Dagong, which notes the debt of the Western countries with much more severity than the three recognized agencies: Standard and Poor’s, Moody’s and Fitch.

“Last Wednesday, the Chinese agency had already downgraded the rating of U.S. debt to A+ to ‘a negative outlook,’ three notches below the rating assigned by Standard and Poor’s. And the agency has also deteriorated last year, the French debt rating to ‘AA with a negative outlook.’ From Beijing’s view, western countries are considered more vulnerable than they would appear.”

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3 responses to “The Financial Crisis: China Lectures the West

  1. The working class of America shopped itself out of a job by buying cheaper goods at Wal-Mart which in turn buys all the stuff in China thus putting higher priced Americans permaently out of work. However the United States will find a way to fix things. It was as bad or worse than this in 1979-80.

  2. For some reason I’m reminded of Robert Mugabe, back in 2000, offering to help the US supervise fair elections.

    And Anonymous is blaming the working class and Walmart shopping? The policies of Ronnie and W might have been just a bit more influential. And while not forgiving Clinton for his unstatesmanlike conduct, at the end of his 2 terms people were seriously talking about reducing the US deficit to zero.

  3. I pushed anonymous on the last post by mistake.

    What I am saying is the working class was put out of work shopping at places such as Wal MArt which is able to offer lower prices because their `stuff’ is made in China, closing American factories. It was an unintended consequence of lower prices. Maybe you could throw in Mike Harris on the blame side. I do agree Clinton was superb and who cares about his personal life.