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But other analysts caution that moving too fast could hurt the United States as well as China, since the U.S. is highly dependent on China to finance its huge budget deficits, which surpass $1 trillion for years to come.

Geoff Dyer, a Beijing correspondent for the Financial Times, notes that a sudden 40 percent jump in China’s currency value would make China look like the economic juggernaut many Americans fear by ballooning the size of its economy and military in dollar terms.

“It would catapult China way beyond Japan and leave it half the size of the U.S.” as the world’s second largest economy, he said, while China’s banks and oil companies would suddenly become the world’s largest. “The phrase ‘be careful what you ask for’ works as well in Chinese as English.”