By Jay Heflin - 06/07/10 09:24 PM EDT
The Economic Policy Institute (EPI) recently reported that the Chinese government's manipulation of its currency has caused the loss of 2.4 million jobs in manufacturing and other trade-related industries between 2001 and 2008. U.S. workers also experienced lower wages because competition from lower wage countries, like China, were undercutting the cost of goods sold by U.S. companies.
Finance members like Chairman Max Baucus (D-Mont.), ranking member Chuck Grassely (R-Iowa) and senior committee members like Sen. Charles Schumer (D-N.Y.) have supported legislation deeming China a currency manipulator.
Last April, Geithner delayed issuing a semi-annual foreign exchange report that would have labeled the country a manipulator because it would likely have damaged relations between the United States and the Asian country.
EPI predicts that ending China's currency manipulation would help create at least 1 million U.S. jobs within the next few years.