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Greenspan on the Chinese Currency...Playing with Fire and Hard Landing...

Nouriel Roubini | Apr 22, 2005

David Altig ("unofficial" representative of the Fed in blogsphere) reports and comments today on Chairman Greenspan's and other US officials call for a rapid Chinese currency revaluation and concludes (flattering that my views would be given such prominence):

"I guess they are not listening to Nouriel Roubini"

He is referring to my recent blog where I argued that the US administration was playing with fire ("Biting the hand that feeds one is folly" in the even stronger Martin Wolf words) in asking for a Chinese revaluation without a corresponding parallel fiscal adjustment in the US, as such unilateral Chinese action may trigger a hard landing driven by much higher US interest rates.


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