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 BaucusMax BaucusGlover Park Group now lobbying for Lyft Wyden unveils business tax proposal College endowments under scrutiny MORE (D-Mont.), ranking member Chuck Grassely (R-Iowa) and senior committee members like Sen. Charles SchumerCharles SchumerConvention shows Democrats support fracking, activists on the fringe Dem ad blasts Indiana senate candidate on Social Security The Trail 2016: Unity at last MORE (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.