[Marxism] China's holdings of US Debt

michael a. lebowitz mlebowit at sfu.ca
Mon Mar 2 22:47:42 MST 2009

S. Artesian wrote:
> As for the Chinese holding's of US debt instruments-- these are not
> government reserves, unless the government decides to seize them. These
> are dollar instruments held on deposit for various clients, not the 
> least of
> which are multinational corporations. That China has such vast quantities
> of reserves as an index to its inability to create a domestic market.
> Keep in mind that none of the $587 billion Chinese stimulus plan involves
> liquidation of the the US debt instruments. China's economic power over
> the US is zero-- just like Japan's was zero despite its accumulated 
> dollar
> reserves.
    I haven't been able to follow this discussion closely. Have the  
holders of US Debt in China been identified? Do we know what portion was 
purchased by Chinese state banks as part of state policy, what portion 
is held  for them by capitalist exporters and, of the latter, what 
portion belongs to non-Chinese multinationals? This seems to be rather 
important information, and I haven't seen anything to date suggesting 
that a sigtnificant portion is held by multinationals. Your sources?

Michael A. Lebowitz
Professor Emeritus
Economics Department
Simon Fraser University
Burnaby, B.C., Canada V5A 1S6

Director, Programme in 'Transformative Practice and Human Development'
Centro Internacional Miranda, P.H.
Residencias Anauco Suites, Parque Central, final Av. Bolivar
Caracas, Venezuela
fax: 0212 5768274/0212 5777231
mlebowit at sfu.ca

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