Facing protectionism, Bush defends China trade
(chinadaily.com.cn)
Updated: 2006-03-11 09:34

Some American economists have blamed the American enlarging deficit on American consumerism.

R. Glenn Hubbard, former chairman of the Council of Economic Advisers to the White House and now the dean of Columbia Business School, told the New York Times that even a sharp revaluation of the yuan by 15 percent or 20 percent might not make much of a difference in the overall trade deficit of the United States as long as the United States has a very low savings rate.

"If we don't have a deficit with China," he said, "we'll have a deficit with someone else."