Tuesday, March 09, 2010

No Yuan appreciations anytime soon - Shaun Rein

Shaun2Shaun Rein by Fantake via Flickr
Wishful thinking has led many analysts to call for an appreciation of China's currency, the Renminbi or Yuan. Shaun Rein goes against that trend and says that an appreciation soon would hurt the recovering export industry too much and might cost up to 5 million jobs, he tells Bloomberg.

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Shaun Rein is a speaker at the China Speakers Bureau. When you need him at your conference, do get in touch.


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1 comment:

Anonymous said...

Talking to an x-colleague, who migrated to Canada about 10 years ago. She is planning to jump ship to the USA. Canada is only a stepping stones for many mainland Chinese. It was easier to get a Canadian greencard.

Asked why not move back to China? Since there are plenty of opportunities for returning Chinese. Well, the same old story -- rmp is just not attractive AT ALL for these people. That lead me thinking about the other 900 millions Chinese who, compared to the billions and millionsires, and the wealthy who are making good in places such as Shanghai, Beijing, ZhongZhi, ShenZen etc. These 900 millions are making only a thousands or 2 rmp. Some even less. That means they CAN never, ever get the chance to travel abroad, even for a week or two vacations to look-see, look-see.

The Chinese government is no different than the US -- lobbying is big business. The rich and the powerful CONTROL what should and what should not. NOT the government. There are many reasons why the values of RMP should be kept low, but one main reason that never comes up(in any case, I never read it)-- is IF the RMP has the same value as the USD, that means the 900 millions (well perhaps a few millions less) would get the chance to travel overseas!!. That would mean the Chinese government no longer able to control them like mushrooms (growing in the dark). Once these people get some ideas of how things should be run for them in their own country, where would be the Chinese government?

It is about controlling their poor country-men that the Chinese government would never re-evaluate their money.

So, as China gets more and more billionaires and millionaires (where their money comes from but not the backs of the poor???) there will be more and more poor. And the disparity between the rich and the poor in China grows wider and wider.

OH, someone argues with me that the Chinese are so much better off than 50 or 60 years before. YES. they are so much better off because the crumbs drop by the rich to them is slightly bigger!! BUT is their plight any better? Their lives is still is playthings in the hands of the currupted government officials, the rich, the powerful, and most of all the foreighners who are their to take advantage of the situations.

To understand China (or any countries), is not about analysing the present day situations. To understand China, in my opinion, one should go back and understand the history of China, the people of China, the self-centerness/selfishness of the Chinese people (a larger majority), and the centuries of how the poor farmers were ill treated by their landloards. Nothing change. Only different is, now is the factory owners, the property developers ...

As 3rd generation overseas Chinese we always wish China well, and wish China do better. BUT not on the backs of the poor.

Cindy

3:14 PM

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