Alan Ahearne, William R. Cline, Kyung Tae Lee, Yung Chul Park, Jean Pisani-Ferry, and John Williamson, “Global Imbalances: Time for Action” (Policy Brief PB07-4, Peterson Institute for International Economics, March 2007). Urges the Japanese government to not support the Japan Carry Trade.
Joshua Aizenman and Jaewoo Lee, “Financial Versus Monetary Mercantilism - Long-run View of Large International Reserves Holding” (NBER Working Paper No. 12718, December 2006). Introduces the term "monetary mercantilism."
Automotive Trade Policy Council, “U.S. Automakers Endorse Japan Currency Manipulation Act; Applaud Stabenow Legislation to Force Action Against Japanese Currency Misalignment” (March 28, 2007). Discusses introduction of a bill to address Japanese currency manipulation.
David Backus, Espen Henriksen, Frederic Lambert, and Chris Telmer, “Current Account Fact and Fiction.” (Paper presented at the annual meeting of the American Economic Association, Boston, January 6-8, 2006). The trade deficits are caused by the fact that the US is so prosperous according to this conference paper that was presented at three different economics conferences during the 2005-2006 period.
Ben S. Bernanke, “Global Imbalances: Recent Developments and Prospects” (Bundesbank Lecture, Berlin, Germany, September 11, 2007). Bernanke underestimates the foreign government contribution to the trade deficit in this speech.
United States-China Economic and Security Review Commission, 2007 Report to Congress Executive Summary (November 2007). The Chinese currency manipulations are enhancing their military capabilities and degrading ours.
Christopher J. Erceg, Luca Guerrieri, and Christopher Gust, “Expansionary Fiscal Shocks and the US Trade Deficit,” International Finance, 8 (2005). Reducing US government budget deficits would only reduce the trade deficit by about 20 cents on the dollar, at the most.
Milton Friedman, “Rx for Japan: Back to the Future,” The Wall Street Journal, Dec. 17, 1997. Milton Friedman argued in 1997 that the Japanese recession was being caused by their deflationary monetary policy.
William R. Hawkins,“Economic Slowdown should prompt President to Reform Trade Policy,” American Economic Alert (October 2, 2001). Hawkins supports import controls as a way to balance trade.
Robert McCauley, “Distinguishing Global Dollar Reserves from Official Holdings in the United States,” BIS Quarterly Review, September 2006. The BEA (Bureau of Economic Analysis) statistics undestimate foreign government dollar holdings.
Ronald I. McKinnon, “The East Asian Dollar Standard” (Position paper for ANEPR conference, Tokyo, January 2004). McKinnon argues that the East Asian nations are virtually forced to send their savings to the United States due to the low rate of US savings.
Peter Morici, Currency Manipulation and Free Trade, (December 2004). Discusses the effects of Chinese currency manipulations.
Peter Morici, “Dr. Morici: US Current Account Deficit widens in Third Quarter - Foreign Governments bankrolling US Consumers,” Finfacts Ireland, December 18, 2006. Other East Asian countries are manipulating their currency values so that their exports can compete with Chinese exports.
Peter Morici, “The Washington Dance on Trade,” Enter Stage Right (February 6, 2007). Morici proposes countervailing duties on China under existing law.
Gabriele Parussini, “ECB, Politics, Business Spar over Euro Rate”, Dow Jones Newswires, September 21, 2007 European leaders worry that they could be the next ones deindustrialized.
Pew Global Attitudes Project. “World Publics Welcome Global Trade – But not Immigration,” (47-Nation Pew Global Attitudes Survey, October 4. 2007). US public is increasingly skeptical about advantages of free trade.
Raymond Richman, Howard Richman, Jesse Richman, and Molly Inspektor, "It's a Wonderful Life Revisited: Morgan Stanley just sold out to Potter," Enter Stage Right (December 31, 2007). Last week, in It's a Wonderful Life Revisited, Morgan Stanley sold out to China for a cash infusion, but the United States as a whole can still take a prncipled stand. We can accept China’s buyout and trade away our industry and freedom, or we can adopt the FairTax and other trade balancing steps to preserve our financial independence.
Raymond Richman, Howard Richman, Jesse Richman, and Molly Inspektor, "The Emperor's New Stimulus Package," (Ideal Taxes Association Working Paper #1, February 2, 2008). The stimulus package proposed by President Bush and congressional leaders is not needed. Instead we should address the trade deficits.
Raymond Richman, "The Trade Deficit is Driving Dollar's Decline," Wall Street Journal (January 3, 2007). McKinnon and Hanke think the United States ignore mercantilism in their "Rescue Plan for the Dollar.
Howard and Raymond Richman, "Time to Use the Big Stick with China," World Net Daily (December 21, 2006). We should auction rights to import from China in order to balance trade.
Jim Trippon, “Failure of United States Economic Mission to China Leaves America as Second Fiddle Says China Stock Digest Editor” (China Stock Digest press release, December 19, 2006). US mission to China failed to persuade the Chinese to change their policies.
George Wehrfritz, “China’s Wealth Woes,” Newsweek International, Sept. 4, 2006,. China simply orders its banks not to make many loans available to its citizens.