Originally Posted by TacomaLuv
I don't like how aggressive China has been in trying to find and rely on oil refineries (for example, trying to buy that Canadian co. in tajikastan) My problem with it is that they're a newly industrialized nation. Shanghai, for example, is a brand new city- all these auto plants going in are brand new. The Chinese aren't stupid- they've seen all of the problems the US has because of oil, and yet are STILL are creating an oil-based economy. It makes no sense.
Why aren't they basing their economy on an alternative fuel source? I understand that they have leftover steel plants and that the "Iron Rice Bowl" forced them to use oil in the past, but for all the industry that they're creating now... why are they still using oil? They definately have enough resources where they could create a wind, hydro electric, or even nuclear based grid, however they aren't. The only explanation I've ever heard is that it is based on how they used to do it- basically looking for the easiest and cheapest.
Anyways, we have bigger concerns with China than changing their energy policies. This admin is much more concerned with the trade deficit with China than promoting China's currency is based on holding US foreign reserves, so the second they switch to a market basket, our dollar will be driven down further. (But... this administration can't figure that out) :confused: .
As for the Phillipines- essentially these countries that are mining and producing raw materials are more concerned with keeping their wages down than the environment. If their wages go up, prices here would blow up astronomically, and here in the US we'd be hit with a huge inflation. From an economic standpoint, it's essential for them to maintain a cheap way to produce.