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Companies brace for end of cheap made-in-China era


Z-06

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China is sitting on a lot of foreign currency reserves it accumulates from its trade surplus. The big issue always has been that the foreign currency markets do not reflect economic fundamentals but pure politics ("strong dollar policy" in the US, for exmple, which for the most part is political talk, i.e., crap).

I think that, in time, one of two things will happen: either the foreign currency markets adjust to China's and everybody else's surplus and reserves, or the wage increases in China erode their cost advantage.

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Back in April, The Daily Show had a classic interview with Wham-O as they have moved their production back here...

Here

This is a REALLY funny video.

Yeah I saw that live. Asif Mandvi really drilled a new one in a nicer way.

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