23/02: Losing Independence
In Revolutionary-Era republicanism, the ideology that informed the Revolution, Articles of Confederation, and Constitution, the most precious of all things in this world was Liberty. In the view of the Founders, Liberty was rare in history, and constantly threatened. The threats to Liberty could be categorized as tyranny (the arbitrary and unjust power of some over others), anarchy (when everyone acts according to his or her passions then no one is free), and foreign domination (which would mean the end of community self-rule). Of course as some of you have already seen, anarchy was regarded as a temporary condition that would lead to the tyranny of the strong. And foreign domination is simply tyranny by outsiders.
Our economic policy is threatening our liberty by inviting foreign domination.
US Secretary of State Hillary Clinton Sunday urged China to keep buying US debt as she wrapped up her first overseas trip, during which she agreed to work closely with Beijing on the financial crisis.
Clinton made the plea shortly before leaving China, the final stop on a four-nation Asian tour that also took her to Japan, Indonesia and South Korea, where she worked the crowds to try to restore America's standing abroad.
In Beijing, she called on authorities in Beijing to continue buying US Treasuries, saying it would help jumpstart the flagging US economy and stimulate imports of Chinese goods.
"By continuing to support American Treasury instruments the Chinese are recognising our interconnection. We are truly going to rise or fall together," Clinton said at the US embassy here.
Clinton had sought to focus on economic and environmental issues in Beijing, saying Washington's concerns about the human rights situation in China should not be a distraction from those vital matters.
Full story linked by Drudge from Breitbart.
It is not difficult to imagine a future scenario in which China threatens to stop buying U.S. Treasury notes, and to dump the ones it now holds, unless the U.S. act in certain ways. We are giving them a lot of leverage.
To those who say that China would never harm our economy because we are such a good customer I have three responses: (1) the Chinese leadership does not have to face the voters, and could decide that long-term strategic gain would be worth short-term econmic pain; (2) lots of history results from "Oh sh*t, that's not how I wanted that to turn out." One can imagine Chinese leadership making the threat quietly, assuming we would cave quickly, we don't, a secret game of chicken ensues, word leaks out and our markets go in a nosedive; (3) France was Germany's leading trade partner in 1938.
Our economic policy is threatening our liberty by inviting foreign domination.
US Secretary of State Hillary Clinton Sunday urged China to keep buying US debt as she wrapped up her first overseas trip, during which she agreed to work closely with Beijing on the financial crisis.
Clinton made the plea shortly before leaving China, the final stop on a four-nation Asian tour that also took her to Japan, Indonesia and South Korea, where she worked the crowds to try to restore America's standing abroad.
In Beijing, she called on authorities in Beijing to continue buying US Treasuries, saying it would help jumpstart the flagging US economy and stimulate imports of Chinese goods.
"By continuing to support American Treasury instruments the Chinese are recognising our interconnection. We are truly going to rise or fall together," Clinton said at the US embassy here.
Clinton had sought to focus on economic and environmental issues in Beijing, saying Washington's concerns about the human rights situation in China should not be a distraction from those vital matters.
Full story linked by Drudge from Breitbart.
It is not difficult to imagine a future scenario in which China threatens to stop buying U.S. Treasury notes, and to dump the ones it now holds, unless the U.S. act in certain ways. We are giving them a lot of leverage.
To those who say that China would never harm our economy because we are such a good customer I have three responses: (1) the Chinese leadership does not have to face the voters, and could decide that long-term strategic gain would be worth short-term econmic pain; (2) lots of history results from "Oh sh*t, that's not how I wanted that to turn out." One can imagine Chinese leadership making the threat quietly, assuming we would cave quickly, we don't, a secret game of chicken ensues, word leaks out and our markets go in a nosedive; (3) France was Germany's leading trade partner in 1938.
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