China unpegs its currency from the US dollar.

[Martin]

Mostly, anyway. They're now pegging it to a slew of other currencies to get a more moderated effect. Although it's clearly not going to be a freely traded currency any time soon, it's a step in the right direction.

The change will take place on Friday, and I'd expect that this will cause the value of the Yuan to fall with respect to the US$. Our venerable friend Alan Greenspan is quite happy with the change.

It's a big change. Is the sleeping giant finally waking up?

[Notoroge]

One day, I've said it before and I *will* say it again, One day,
When China is a Super-power just as-well as the U.S.
One day,
When we least expect it,
WWIII.
China vs. U.S. Showdown.

It *will* happen. It's just a matter of *when*.

[Martin]

No it won't. This is one more step away from the possibility of war. The US and China depend on each other far too much for there to be a chance of war.

[Paul]

good, taiwan is on its way. Come to mommy!

[Neo]

Notoroge wrote:

One day, I've said it before and I *will* say it again, One day,
When China is a Super-power just as-well as the U.S.
One day,
When we least expect it,
WWIII.
China vs. U.S. Showdown.

It *will* happen. It's just a matter of *when*.

Good. The gaming industry needs new ideas.

[Tony]

Martin wrote:

I'd expect that this will cause the value of the Yuan to fall with respect to the US$. Our venerable friend Alan Greenspan is quite happy with the change.

Wouldn't that increase the amount of Chinese exports to the U.S.?

Sure, U.S. will continue to be screwed over, but what about us?

David Dodge
Governor of the Bank of Canada
at a press conference following the release
of the Monetary Policy Report Update
14 July 2005 wrote:

...
The risks to the outlook through 2006 relate primarily to the future path of prices for oil and non-energy commodities, the pace of growth in China, and the ongoing adjustment of the Canadian economy to global developments. ...

Sounds like this surge in Chinese growth puts Canada at rist as well..

[Boo-chan]

First of all, the yuan has risen 2.1% against the US dollar. Obviously, this will have a detrimental effect on China's exports, since its large export surplus is based on cheap manufacturing costs. Previously, the Chinese government had kept the yuan based on the US dollar, artificially lowering its value to make Chinese goods cheaper in the US.

However, recently the large trade surplus that China has with many nations has caused certain governments to take action to lower the amount of exports. For example, the EU has imposed a quota system in relation to Chinese textile imports and a bill that was being drafted in the US would have placed a 27.5% tariff on all Chinese imports. Clearly, China is forced to either realign its trade relationships with these countries voluntarily or face large tariffs and market restrictions in the future.

By making its currency more related to true market value rather than a value imposed by the government, China appears to be moving further along the path from a communistic style of government to a more capitalistic/democratic one. Plus, the rise in the currency value will both lower exports and raise imports bringing China into a more interdependant relationship with other countries, which will both cause China to be more susceptible to western influences and also lower the possibility of future conflicts between China and mainly the US, specifically in relation to both North Korea and Taiwan. Note: The Opium wars between China and Britain shows a clear precedent in this regard.

However, a mere 2% change China's currency won't cause a large enough impact on China's exports to meet the demands of other countries. China will clearly need to make more moves to both raise its imports and lower its exports or other nations will follow through with their threats of tariffs,restrictions etc. As well, the rise in value of the yuan is expected to negatively affect China in exports, agriculture and employment.

[Dan]

Neo wrote:

Good. The gaming industry needs new ideas.

ROFL, that is so true.

[Rant]
If i play another WWII game i think in am going to go nuts and smash the console to litte pices. THEY HAVE SUCKED THE LIFE OUT OF THAT GENRA OF GAME AND THEN SOME. Please please please stop making world war games, it has been done and done and done and then done again. Do thess peoleop not have any imagation at all? Hell just make up a difrent war it is not like most gamers are historinens anything but another WW2 game.
[/Rant]

[Tony]

Hacker Dan wrote:

Do thess peoleop not have any imagation at all? Hell just make up a difrent war it is not like most gamers are historinens anything but another WW2 game.

Well World War 2 is the only modern war (ending in 1990 when the split Germany reunites to sign the peace treaty) available as a reference. We haven't had a major conflict until this deal with Iraq, but clearly one will not make a game about that because a) it is still occupied and b) U.S. was not supposed to be in there in the first place.

Ether way -- originality of videogames hardly relates to Chinese currency value, so lets get back to off topic.

[Dan]

Tony wrote:

Hacker Dan wrote:

Do thess peoleop not have any imagation at all? Hell just make up a difrent war it is not like most gamers are historinens anything but another WW2 game.

Well World War 2 is the only modern war (ending in 1990 when the split Germany reunites to sign the peace treaty) available as a reference. We haven't had a major conflict until this deal with Iraq, but clearly one will not make a game about that because a) it is still occupied and b) U.S. was not supposed to be in there in the first place.

Ether way -- originality of videogames hardly relates to Chinese currency value, so lets get back to off topic.

Acuataly some (at least one) game has been made of that war allready. I saw a review for it, it was horable game, you are a treroists bounty hunter and u fight your way thorw teoreits (all looking the same and with crapy ai) in till u get to one of the leads and have a boxing matach with them and then u captur them and work your way up to bin ladin.

ya......that was bad.......

any how the point is that it is not that hard to make up your own ideas and wars. not everything has to be 100% based on hisotry.

[Boo-chan]

Actually, the word war is often misused. Since, WW II many "armed conflicts" have occured but no wars. For example, the Korean War was defined as a police action, the Vietnam War was actually an "internal conflict" [ and hence was not governed by the Genva Conventions], the Falklands War was defined as an "armed conflict" and finally the 2 Iraq wars were also defined as "police actions."

So why aren't these wars actually called wars? Because "Member nations [of the UN] pledge to settle their disputes peacefully, to refrain from using force or the threat of force against other countries, and to refuse help to any country that opposes UN actions." In simple terms, nations gave up their right to declare war on other nations.

However, armed conflicts are still legal, so all wars are now technically known as armed conflicts. Its very similar to the fact that if genocide occurs in a nation, the UN is legally bound to use force to stop it; but if "acts of genocide" are occuring the UN doesn't need to do anything. Its semantics like this that are rapidly making the UN a meaningless body. [along with the fact that dictatorships have the same voice as democracies]

But anyway, back to the original topic. The yuan seems to be holding steady at approx. 8.11=1 US$. However, this is possibly due to the fact that China is only allowing it to change by up to 0.3% per day. Since the yuan is believed have been held at approx. half its value it could be quite a while before it reaches its true market value, unless China makes further steps in this area. If no other announcements are made in this area it is expected that the yuan will be trading at approx. 7.7311 per US$( value taken from non deliverable forward investments on the China Foreign Exchange Trade System) in a year's time.

[Amailer]

Tony wrote:

but clearly one will not make a game about that because a) it is still occupied and b) U.S. was not supposed to be in there in the first place.

No one will make a game? Isn't battlefield 2 about the war in Iraq?

[[Gandalf]]

Yeah, I was going to ask about Battlefield 2, it is some modern war. I don't think it's Iraq though, since there is something about China... Still, if it is made up it has a huge resemblance to the current middle-east 'wars'.

[person]

how about that game "Return to Baghdad"??