The decision by the U.S. Environmental Protection Agency last year to increase the allowable level for blending ethanol with gasoline was a major factor in driving demand for ethanol -- and corn prices -- up sharply.
As the senior leader of one Chinese state-owned enterprise said to me, "I used to think [Obama] was nice. Then I realized he was intelligent. Now I know he's shrewd, just like Hu Jintao. Your leader is a strategist."
Just as the U.S. government has subsidized the largest global banks at the expense of smaller competitors and taxpayers, the rise of the mega-retailers owes partial thanks to the invisible hand of Uncle Sam. Those government policies should be reversed.
Behind the currency debate lies a somber reality. Most of China's exports are the result of the relocation of production outside of the U.S. -- it is American corporations that fuel the balance of payment deficit.
The United States virtually invented the modern middle class. Today, our exporters must reach out to the global middle class, and our government must assure that foreign trade barriers don't stand in the way.
How is it that America finds herself in the position of schoolyard patsy, woe-is-me casualty of China's illegal trade practices that are destroying U.S. renewable energy manufacturing and foreclosing an energy-independent future?
The social contract requires that the government provide the environment necessary for its citizens to achieve reasonable levels of Life, Liberty and Happiness. Right now, the American government is in breach of contract.