Reporting that Doesn't Inspire Confidence
26 August 2006
Editor, The Washington Post
1150 15th St., NW
Washington, DC 20071
Dear Editor:
My confidence in your business reporting is not enhanced when I read in today's edition that protectionists blame "an overvalued Chinese currency for the loss of American jobs" ("Fed Chief Backs Global-Wealth Sharing," August 26). In fact, protectionists assert that the Chinese currency is undervalued - a situation that subsidizes Americans' purchase of Chinese goods while it taxes Chinese purchases of American output.
Of course, whether or not the yuan really is undervalued is a separate issue.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Editor, The Washington Post
1150 15th St., NW
Washington, DC 20071
Dear Editor:
My confidence in your business reporting is not enhanced when I read in today's edition that protectionists blame "an overvalued Chinese currency for the loss of American jobs" ("Fed Chief Backs Global-Wealth Sharing," August 26). In fact, protectionists assert that the Chinese currency is undervalued - a situation that subsidizes Americans' purchase of Chinese goods while it taxes Chinese purchases of American output.
Of course, whether or not the yuan really is undervalued is a separate issue.
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on
Sunday May 13, 2007 at 12:14pm