Saturday, July 4, 2009

North Korea is going through its succession, and for whatever reason, they are being belligerent. Now, the reality is that they are on a very short leash from China. All of our discussions about North Korea should be with China.

Here is something to ponder. What would happen if China US trade dropped in half. US demand for inexpensive products would be filled immediately from other countries, and from increased domestic manufacturing. China has an ongoing boom based largely on internal business and trade worldwide, not just US.

We could easily live through a trade war with China, if it was necessary to push China to restrain North Korea.

And, by the way, North Korea is testing Skud missiles, not exactly anything more powerful than WWII German V-2 missiles. Everyone, chillax.

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