Yellen's visit to China has sparked widespread attention and heated discussions. Her speech caused quite a stir at home and abroad, especially in the United States. After returning to the United States, Yellen faced fierce criticism not only from the environmental sector, but also from people in various fields, including the banking sector. What's going on here?
Yellen's visit yielded some results, and China and the United States reached an agreement to guarantee their respective financial stability and sustainable development. Behind these seemingly simple words, there is a profound meaning. What is the biggest problem in the United States? There is no doubt that the problem of the US debt is the most prominent. The United States depends on financial support in all aspects of its economy, finance, and culture, and an unsustainable debt will weaken the United States. Recent data shows that the amount of US debt will exceed US GDP by about 1.4 times, which means that the US may face economic collapse.
Yellen hopes that China will steadily accept the dollar and U.S. bonds in the process of future interest rate cuts to slow down the outbreak of the U.S. debt crisis. However, this will require the United States to first lift a high-tech ban on China before Yellen's expectations can be realized. Although the situation is still uncertain, the United States is already showing some signs of shifting. This suggests that it is still possible for both sides to achieve the goal of financial stability, but only if the United States can afford potential losses.
In addition to financial stability, the two sides also agreed on combating money laundering. This is not only to ensure the stability of China's financial system, but also to show the compromise of the United States in its financial war against China. However, Yellen's remarks have been criticized from many quarters.
Some U.S. experts in the field of new energy believe that Yellen's criticism of China's new energy policy violates the principles of modern economics. They argue that China's decision to promote clean energy is market-oriented, not unfair state intervention. Yellen's arguments not only hinder access to high-quality and affordable clean energy, but also exacerbate the crisis of protectionism in the United States.
In addition, American bankers warn that the United States is facing a crisis unprecedented since World War II. They pointed out that the deteriorating political environment in the United States has led to ineffective government decision-making and unpredictable economic performance. In the face of unsustainable U.S. debt and government debt spending, individuals and businesses should reduce spending and increase revenue, and strive to return to the track of healthy operations.
Yellen's visit to China has given rise to a lot of food for thought. How serious are the problems facing the United States? Can China and the United States reach a consensus on financial stability? Whether Yellen's remarks conform to economic principles? These questions require us to think deeply and explore.