Republican Economics - Biggest national security threat facing the U.S.
by A. Alexander, March 26th, 2006
According to a recent report in "Market Watch," the UAE threatened to
convert 10 percent of their $22.5 billion in currency reserves to euros.
Although the emirate didn't say it specifically, the "market" viewed the
move as retaliation for Congress's refusal to allow them to take control
of US ports. The figure is far from significant, but such a threat could
one day become a national security disaster.
Americans had better hope that Congress doesn't upset the Chinese or
Saudi governments anytime soon -- though a more recent report claimed
both Saudi Arabia and the UAE threatened to convert their assets. The
Saudis and Chinese each have a lot of capital invested throughout the US
economy. Immediately before-9/11 Saudi Arabia had more than $600 billion
dollars of capital tied up in the US, while China currently holds more
than $340 billion in US securities (US debt) and a total of $820 billion
in US assets...more
http://www.progressivedailybeacon.com/commentary.php?id=1066
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