Time for Another Round of Populist Rhetoric

It's that time again -- time for another round of populist rhetoric.

After falling beneath the radar for awhile, talk is again surfacing that lawmakers in Washington will be looking to take out their frustrations on one particular Asian nation for the myriad problems we face at home.

In the latest edition of the Wall Street Journal's Big Interview, Under Secretary of State for Economic, Energy and Agricultural Affairs and former Goldman Sachs executive (naturally) Robert Hormats discusses what might happen if one of our biggest trading partners "fails to address concerns about its currency and trade practices."

WASHINGTON -- China risks a backlash from the U.S. Congress unless it becomes more responsive to international concerns about its currency value and trade practices, a top U.S. State Department official warned.

Difficult economic conditions, inflated unemployment levels, and election-year politics create a politically combustible environment, said Robert Hormats, under secretary of State for economic, energy and agricultural affairs, told The Wall Street Journal. A lack of action by the Chinese to address U.S. concerns about currency issues and intellectual-property protections could encourage a more protectionist agenda on Capitol Hill.

"We're likely to see some legislation offered that would be adverse to Chinese interests" if more steps aren't taken, Mr. Hormats warned.

Here is the video: