www射-国产免费一级-欧美福利-亚洲成人福利-成人一区在线观看-亚州成人

Larger US budget war rages on, raising concerns in Asia

Updated: 2013-10-20 07:59

By Agencies(China Daily)

  Print Mail Large Medium  Small

While the US Congress cut a last-minute deal late Wednesday to avert a debt default, the larger budget war is far from over - and China, as the United States' primary debt holder, is closely monitoring the likely indefinite fight.

Deal or no deal, the US Congress' dance with default impressed policymakers and investors in China and Japan with just how vulnerable their own economic revival plans are to the next political tantrum on Capitol Hill.

Perhaps no two economies outside the US have more at stake in Washington's recurring drama than Japan and China.

Not only are they the second- and third-largest economies but also they lend Washington more money than any other single nation. China held $1.28 trillion in US Treasury securities at the end of July, and Japan owned $1.14 trillion. A default would likely have devastated the value of their holdings.

Analysts say China may step up a push for global acceptance of its currency, the yuan, or RMB, as an alternative to the US dollar in international trade.

"They might actually consider accelerating the process," said Vincent Chan, head of equity research at Credit Suisse in Hong Kong.

"You strengthen the case of making the RMB a genuine international currency, because the Americans are unreliable."

There are no bond markets large enough to give China and Japan an alternative to US Treasuries for the dollars they accumulate selling exports. So the prospect of another US default drama next year is likely to lend new urgency to China's preferred solution: conducting less trade in dollars and more in yuan.

About 18 percent of China's total trade is settled in yuan. And it has registered a sharp increase this year after stagnating for most of last year.

Much of the increase has come in China's trade with economies outside the US or the European Union, its biggest demand centers, although it accelerated plans to internationalize the currency with agreements this month with Britain and the European Central Bank.

Achieving more trade in yuan, however, means giving China's trading partners a place to invest their yuan as easily as they invest their dollars in US Treasuries now.

The yuan hit a record high on Friday for a fifth consecutive day against the dollar, partly as investors worried about the economic impact of the US shutdown.

Congress gets another chance to hold US creditworthiness hostage early next year ahead of a new Feb 7 deadline to approve a debt ceiling increase.

That is because lawmakers failed to address the root cause of the conflict - namely, the sharp contrast in how each side views the role of government.

"The parties remain sharply divided over tax and budget policy," Brookings Institution's senior fellow Darrell West told Xinhua.

"It will take another election to resolve those issues."

Recent days have seen Republicans push the country to the edge of economic calamity, as the party blocked the lifting of the US debt ceiling unless Democrats repealed parts of President Barack Obama's controversial healthcare overhaul.

The White House also dug in its heels, and critics blasted the president for not negotiating with Republicans on parts of Obamacare that the GOP argued would harm the economy.

Indeed, the fight over Obamacare is a battle in a larger war. While supporters tout the landmark reforms as providing health insurance to millions of previously uninsured Americans, opponents argue the law is inefficient, unfair and unaffordable at a time when the country is mired in $17 trillion of debt - roughly equivalent to US gross domestic product - with no major spending cuts on the horizon.

While Republicans have voiced concern over Washington's massive spending, neither side wants to tackle entitlements, such as Medicare, Medicaid and Social Security - three of the main debt drivers - as doing so would be a bad political move and land politicians in hot water with their constituents.

Meanwhile, it remains unknown whether the US will see a repeat of the debt ceiling fight on Feb 7, which marks the date to which the debt ceiling was extended under Wednesday's deal.

But Republicans, who were blamed worldwide as acting irresponsibly for taking the country to the edge of economic disaster, were burned in their bid to gain concessions on Obamacare. The move badly damaged the Republican brand and may cause the GOP to avoid the same tactic in the next round, analysts said.

Strategies aside, the war in Congress over spending is expected to rage on in one form or another. Both sides are expected to stick to their guns, and analysts said there are no signs of a resolution anytime soon.

As for another partial government shutdown, which saw non-essential employees furloughed for more than two weeks, GOP Senate Minority Leader Mitch McConnell vowed Thursday not to allow the government to shutter in the ongoing GOP fight against Obamacare.

Some analysts echoed those sentiments.

"I do not think there will be another government shutdown because the last one was a complete fiasco for Republicans," West said.

"They gained nothing in policy terms and suffered serious political damage. It would be crazy for the GOP to repeat the same strategy."

Last week Congress saw its approval rating dip to an all-time low, with a mere 5 percent of respondents saying they back the decisions of government leaders and the majority blaming the GOP for the partial shutdown, according to an AP-GfK poll.

Dan Mahaffee, an analyst with the Center for the Study of the Presidency and Congress, told Xinhua that while numbers show Americans are increasingly becoming moderate, identifying themselves as independents and wanting pragmatic solutions, the politics of Congressional elections emphasizes the importance of party orthodoxy.

(China Daily 10/20/2013 page1)

主站蜘蛛池模板: 久久精品视频日本 | 久久精品国产影库免费看 | a三级黄色片 | 亚洲欧美另类视频 | 国产一区二区三区视频在线观看 | 成人免费视频网址 | 国产萌白酱在线一区二区 | 99精品视频一区在线视频免费观看 | 欧美日韩国产一区二区三区在线观看 | 91精品国产91久久久久青草 | 国产三级在线观看播放 | 久久久久国产成人精品 | 91精品国产爱久久久久 | 国产欧美一区二区三区免费看 | 亚洲区精品久久一区二区三区 | 日韩欧美中文字幕一区二区三区 | aaa在线观看 | 久久99精品这里精品3 | 欧美美女一区二区三区 | 精品国产品香蕉在线观看 | 亚洲香蕉久久一区二区三区四区 | 国产小说 | 欧美日一本 | 日韩欧美毛片免费观看视频 | 乱人伦中文视频在线 | 亚洲乱码国产一区网址 | 毛片一级在线观看 | 伊人色综合久久天天人手人停 | 亚洲一区二区在线视频 | 久久综合精品国产一区二区三区 | 欧美一级看片a免费观看 | 国产草草影院 | 亚洲国产欧美另类 | 免费成人高清视频 | 精品久久一区二区 | 欧美在线播放视频 | www.日本免费 | 欧美三级做爰全过程 | 亚洲免费成人 | 欧洲亚洲综合一区二区三区 | 久久久久久一级毛片免费野外 |