States That Will Take A Big Hit From China's Devaluation
In case you missed it, China has devalued their currency for two consecutive days. The devaluation has been just over 2% and it has caused markets around the world to implode. This is just the beginning. They plan on devaluing their currency by 10% in a desperate attempt to revive their floundering economy. What they are really doing is crushing the economies of the US, Europe and Japan as their companies have a harder time competing in world markets.
Those who don’t think the US is heavily dependent on China as a market are delusional. Check out this chart. Without these tremendous increases in exports to China, these states would be in far worse shape than they already are. When this devaluation is complete, the companies in these states will be 10% less competitive. Their exports will decline. When exports decline, companies fire workers. Get ready. The fireworks are just beginning. Fourth Turnings sure are entertaining.
Disclosure: None.
The crash of the Chinese market is a long time coming. This is also a leading indicator that the U.S. economy needs to decrease its dependence on the Chinese manufacturing. The U.S. has been outsourcing its factory jobs to China for way too long and its all because of the ridiculous corporate tax rates that exist here in the U.S. If the Chinese market drags the U.S. down with it, it is because of the "anti-business/corporate" mindset of the current U.S. government.
vida life,,, please lower taxes with flat tax 14.5% on sales, services, individual and corporate taxes which is deflation and help to bring back companies, please We need deflation and negative unemployment not inflation, deflation lowers cost of living and raises everyones standard of living where even poor and minimum wage earners of 7 dollars an hour can buy alot and save, also please We tore down Berlin Wall now let Us open up USA Mexico boarder like Canada and between states, there are fewer newborns and capitalism needs more People, and free trade and market for everyone, CORRUPTION is number one enemy of all People, governments, nations, religions, news / press, labor unions, banks, corporations, some medical and dental communities, CORRUPTION destroys from within, is an inside job, causes; tyranny, injustice, discrimination, oppression, abuse of power and authority, civil wars, wars, and is treason, CORRUPTION hinders or destroys all good intentions, CORRUPTION is in control of USA government, the best and most peaceful way to reduce CORRUPTION is by democracy, USA needs democracy to save her, immigrants are innocent for they come from outside and have little money and power, please make immigrants legal, regulate and tax them minimally and with little red tape and time consumption as possible and invite them to areas where Citizens have moved away from to restart economy and they will lower USA "average" yearly wage which right now is highest in world 56,000 dollars that is driving away companies being unable to compete and survive in global market, by lowering USA "average" yearly wage and lowering taxes will bring back companies causing negative unemployment and competition between companies will lower their prices of goods and services causing deflation lowering cost of living and raising everyones standard of living where even poor and minimum wage earners of 7 dollars an hour can buy alot and save, lowering taxes and "average" yearly wage is deflation lowering cost of living and raising everyones standard of living and causes companies to come and prosper causing more deflation along with negative unemployment
vida life,,, We can counter this loss in revenue easily in many ways; 1) please stop sending money to other countries (foreign aid) a yearly 50 billion dollar savings, 2) please make all drugs, prostitution and immigrants legal about 100 billion to 150 billion dollar yearly savings, 3) please recall all USA "ground" troops and ask The United Nations, police of world, to please send their troops to make peace, unite world- The United Nations a 10 trillion dollar or more savings, even close all foreign based bases, 4) please stop bailing out CORRUPT banks and corporations let free trade and market deal with them, but still insure individual bank accounts and depositors, a 8 trillion or more dollar savings, 5) please with all these savings pay off USA national debt thus no more interests to pay and please never ever borrow money again as We have all learned it is a loosers game, please save first then spend, a trillions and trillions of dollar savings over time, 6) please free everyone and turn all prisons and churches to soup and food kitchens and farms and shelters for everyone open 24 hours a day forever, a savings of billions if not trillions of dollars over time, 7) please We tore down Berlin Wall now let Us open up USA Mexico boarder like Canada and between states, free trade and market for everyone and there are fewer newborns and capitalism needs more People, and please invite immigrants to areas where Citizens have moved away from to restart economy and to lower USA "average" yearly wage (that is highest in world 56,000 dollars that along with high taxes has forced companies to move away to areas/ nations with lower "average" yearly wages and lower taxes to compete and survive in global economy) which will bring back companies causing negative unemployment and competition between companies lowering prices of their goods and services causing deflation lowering cost of living for everyone and raising everyones standard of living where even poor and minimum wage earners of 7 dollars an hour can buy alot and save, a savings of unlimited wealth over time