Janet Yellen's embarrassing trip to China.

 U.S. FOREIGN POLICY BECOMES EVEN MORE DYSFUNCTIONAL

MULTIPLE POLICIES FROM THE SAME ADMINISTRATION

The United States's credibility declines with every meeting and every approach, it is an embarrassment to the nation and will take years to correct, if ever. Janet Yellen's recent trip to China is an astonishing example, maybe it is the mushrooms. 

This administration began with an adversarial relationship with China, It threatened China,  both economically and militarily, both privately and publicly. China took them at their word and began preparations for war with the United States. 

This administration often used the word, "decoupling" economically from China. Delusional congressmen, senators and members of this administration voiced the opinion that China needed the U.S. market to survive. The reality is that the U.S. is dependent on Chinese manufacturing for the majority of its goods. 

China has been systematically liquidating its investment in U.S. debt, as is Japan, Saudi Arabia and others. Not because of some sinister conspiracy, but due to objective view that it is no longer a good investment. Many countries central banks have been buying gold which has now risen over $300 in the last few weeks to an all time high of $2350.00. Much of this has to do with the unsustainable U.S. debt and deficits which are excellerating.

The United States has been buying allies in east Asia in an attempt to surround China militarily in an effort to counter China's growth as a global power both economically and now in response to U.S. threats, militarily.

The reality is The U.S. market of 350 million is dwarfed by the other 6.5 billion consumers around the world. Its purchasing power is inflated due to government deficit spending and the erosion of the buying power of the dollar. It is all likely coming to an end.

So, we see Janet Yellen, who in her last trip to China, when she threatened them with,"consequences", return and ask them to stop overproducing, as it is putting pricing pressure on U.S. producers. Overproduction, by the wat, is a self regulating affair, and not profitable, the Chinese are very keen on making profits.

Then to top it off she is asking them to not only stop liquidating the U.S. debt but to buy more, so that in effect, the U.S. will have more money to buy allies in the region. Then I suppose she celebrated her successful trip to China buy consuming a large serving of magic mushrooms.