tag:blogger.com,1999:blog-10698887.post1822981005405656740..comments2023-10-22T18:25:39.688+08:00Comments on The View from Taiwan: ECFA Really so awesome?Michael Turtonhttp://www.blogger.com/profile/17974403961870976346noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-10698887.post-70702844345587559892015-05-24T22:06:18.962+08:002015-05-24T22:06:18.962+08:00The conclusion is clear -- KMT suck, they are not ...The conclusion is clear -- KMT suck, they are not bad guys, but they suck.Anonymoushttps://www.blogger.com/profile/09103488959950768441noreply@blogger.comtag:blogger.com,1999:blog-10698887.post-8027128061215187602015-05-24T08:37:40.255+08:002015-05-24T08:37:40.255+08:00There shouldn't be trade surpluses at all, exc...There shouldn't be trade surpluses at all, except the cost of holding wages down. Surpluses, especially with the US, are a product of monetary policy that holds domestic wages down and forces savings rates to be high and capital to be exported.<br /><br />If worker productivity is going up, ideally, domestic consumption should go up commensurately. What happens now is worker productivity goes up, wages stay the same, and the excess capital is invested abroad. One day, Taiwan will be forced to reevaluate the NT and all those great "foreign exchange reserves" will take a huge loss.<br /><br />It is an investment tautology: if the Central Bank is long the US dollar (forex reserves), then it is necessarily <b>short Taiwan</b>. Let that sink in for a second. Yep, the bank bets against the average wage earner and aids domestic investors (財團). Is this really the tradeoff you want or Taiwanese people would want if they were made aware of it?Jhttps://www.blogger.com/profile/17592751713675895474noreply@blogger.com