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Well, If the Yuan appreciated too quickly it would have devastating effects on the Chinese economy, inflation sky-rocketing would just be the beginning. What the USA needs is for it's artificially over valued dollar to be properly valued, but this would lower the US's buying ability, and so the rich will not even contemplate it, instead they want to tell others what to do individually, China has the biggest consumer market, they want the Chinese to be able to afford more goods from the USA.|
Some companies lower there prices in China just to get the sales, Microsoft being one of these companies we all know about. in 2009 I bought an "Oxford" Chinese English dictionary, for about 17RMB ( about $AUD3.00) in Australia such a book would be about $AUD 20.00. on the inside of the books front cover was words to the effect of "this book is for sale in mainland China only. Proving that profits can be made in the west at much lower prices.
In the past, profit by volume of sales was the mainstay averaging about 22% mark-up, but then the idea of having your cake and eating it too went haywire, and "what the market can bare" became the new catch phrase, in other words "what most fools will pay " you will notice many items are introduced at very high prices, this is to catch the "fools" that must have a new item immediately, after a short time the price comes down for the rest of us.
Have you ever noticed the 80% off sales, they still make a profit. What caused the recession in the USA was mismanagement, the difference between US importers and exporters, Importers could buy heaps of Chinese goods and resell them at low prices and still make a huge profit ( sale by volume) the exporters were at a disadvantage, US wages being so high comparatively, so they moved off shore, not just to China but other low wage countries, denying their own people jobs. This kind of thing went around and around, until it affected many more US workers, people stopped buying american made because they cannot afford it. but, what was worse was that the Chinese government was able to control it's own economy, which it needed to do, or China's own economy would have collapsed.
The west saw a virtually untapped market of over a billion consumers, and at a time when their own economic bubbles were bursting or about to burst they jumped ship in their leaking life rafts and like a greedy kid seeing a huge cake dripping with chocolate they could see nothing else. They gorged themselves, and when they felt the pain of their gluttony they blamed the cake. Blind greed is the cause, mismanaged blind greed. The US government not wanting to admit that the US system was to blame of course blamed the Chinese.
Attitude is also to blame, the US government bailed out the banks rather than the people( victims) who were ripped off. Imagine if they had of given the money to those affected, to the poor, the amount of stimulus to to economy may have saved many jobs as the poor spent the money, rather than the bankers who save themselves. you can't stimulate an economy by giving money to the rich.