Should the U.S. Rely on a New Banker?

The bizarre spectacle of America's top diplomat jingling the beggar's cup in front of a rising rival enraged conservatives -- and rightfully so. The dangers of over-dependence on China are obvious. Chinese leaders have occasionally suggested using Treasuries to pressure Washington on policies they dislike. In August 2011, the state-run People’s Daily ran an editorial arguing “now is the time for China to use its ‘financial weapon’ to teach the U.S. a lesson” regarding its support for Taiwan.