China has already approved a $580 billion stimulus plan, but it seriously considering spending even more money. Chinese Premier Wen Jiabao said:
“We may take further new, timely and decisive measures. All these measures have to be taken pre-emptively before an economic retreat.”
“We must take forceful steps. Under special circumstances, necessary and extraordinary measures are required.”
Like the U.S., the Chinese government is going to spend a fortune. Unlike the U.S., China doesn’t have to borrow the money to pay for its stimulus program.
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Of course China can stimulate with no big problem; they have “two” trillion of our trade dollars in their coffers. I consider us the world’s biggest suckers for not buying “American.” Oh yeh… we may hurt the other nationalist nation’s feelings, who have trade barriers. Disgusted with our naivete!!
Williams