Was Obama’s trip to China a failure? Well, he didn’t give anybody a public back rub or throw up on the prime minister. However, the Chinese President ignored everything Obama said in their joint press conference, where the Chinese refused to take questions. In his half of the press event President Hu lectured Obama on America’s unacceptable weak Dollar policy. He went on to complain about Obama having put huge tariffs of 40% on tires and 99% on pipe that China was dumping into the US market to eliminate US producers.
Obama let the Chinese have things their own way in public and indeed he said many things to build up their stature (face is a very important thing to the Chinese). The question is did he get anything back in private? Obama came out today and warned we could have a double dip recession if government deficits are not brought under control. He knows there is no practical way to balance the budget given the mess the Republicans left behind. The Chinese complain constantly about all our deficit spending, so is he just telling them what they want to hear? Or taking orders from our masters?
Maybe he has made a deal with China to allow us to rebuild without China interfering. What is required is a total restructuring of the economy from the rebuilding of the manufacturing base to a realignment of our currency and the elimination of the debt (not repayment). Throw in a complete breakup of all the monopolistic corporations and a roll back of the Reagan tax cuts and we could become an emerging economy instead of plunging deeper into the third world.
Is Obama preparing the ground for a New Deal reform program and maybe a trade war with China? Or is he preparing us for the final transfer of power to the corporate elite? Obama is warning about a double dip Recession if we spend more money on the recovery. We’re still going down the first dip. Either way things are going to get bad, but will they get better again? www.prairie2.com Asking, what flavors on your double dip?