'No Credible Evidence' Yuan Change Would Aid Manufacturing

June 23, 2005
As several major business groups, particularly the National Association of Manufacturers, continue to push the Bush administration to press China to float its currency, Federal Reserve Board Chairman Alan Greenspan says he sees "no credible evidence" ...

As several major business groups, particularly the National Association of Manufacturers, continue to push the Bush administration to press China to float its currency, Federal Reserve Board Chairman Alan Greenspan says he sees "no credible evidence" such revaluation would boost U.S. manufacturing.

Stressing that he was speaking for himself and "not necessarily" reflecting the views of the Board, Greenspan told the Senate Finance Committee June 23, "Some observers mistakenly believe that a marked increase in the exchange value of the Chinese [currency] relative to the U.S. dollar would significantly increase manufacturing activity and jobs in the United States." Bluntly stated Greenspan, "I am aware of no credible evidence that supports such a conclusion."

Greenspan also attacked Congressional proposals to impose a broad tariff on Chinese goods as a means to sustain U.S. jobs, especially in manufacturing. "A policy to dismantle the global trading system in a misguided effort to protect jobs from competition would redound to the eventual detriment of all U.S. job seekers, as well as millions of American consumers," he asserted. "Policy should aim to bolster the well-being of job losers through retraining and unemployment insurance, not to stave off job less through counterproductive efforts to impede the process of income-enhancing international trade and globalization."

Popular Sponsored Recommendations

How to Build Zero-Cost On-Site Solar and Storage Projects

Nov. 25, 2023
The Inflation Reduction Act offers tax credits, incentives, and financing that enable no-cost projects. In Enel’s eBook, discover the critical role that incentives play in your...

Turning Your Frontline Workforce into a Competitive Advantage: A Comprehensive Guide

Sept. 19, 2023
In this guide, we'll explore how manufacturers are using digital technologies to preserve the bottom line and maintain growth by enabling and empowering their #1 asset - their...

Gain a competitive edge with real-world lessons on private 5G networks

Nov. 16, 2023
The use of private networks in manufacturing applications is rapidly growing. In this paper, we present valuable insights and lessons learned from the field with the goal of enhancing...

Goodridge Boosts Productivity & Saves Costs by Moving to the Cloud!

Dec. 4, 2023
With Infor's cloud solutions, Goodridge has been able to greatly increase overall productivity, cost savings, data visibility, and automation. This case study discusses the many...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!