"In 2003, the most recent year with full international statistics, central banks financed 83 per cent of the US current account deficit, with Asian central banks accounting for 86 per cent of flows. A similar picture is emerging for 2004. Despite a good start to the year, when the private sector was a large net purchaser of dollar assets, central banks came to the rescue again. The People's Bank of China has let it be known that China increased dollar reserves by $207bn (€159bn) in 2004, financing nearly a third of the US current account deficit, estimated at $650bn."
http://news.ft.com/cms/s/bd52ee06-6d...00e2511c8.html
Imagine how cult like Bush lovers would have frothed at the mouth, peed on the floor and spewed hate about liberals had this happened during a democrat administration. At least Clinton knew how to be responsible with the economy. Bush and his followers think it's patriotic to owe the nation's soul to the Communist Chinese!



and see if you can't unlearn your notion of just how wages, employment and technology work and why the notion of real wages is of limited value when taken out of a broader economic context.
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