Prof Morici balmes China for the US trade deficits.
Even let's assume he's correct in his that particular argument,
he, however, is not consistent fundamentally in his argument by only focusing on trade and ignoring the saving investment conditions.
It is too easy for some Americans to blame others for their own problems, but how others outside the US could make the US government huge budget deficits?
The US trade deficits with the rest of the world is at least partly a reflection of over spending and insufficient savings nation wide.
Unless the Americans recognise their own problems and take effective actions to rectify them, blaming other will not solve their saving deficits problems.
When Prof Morici is saying the Fed fantasy, he is also creating his own fantasies about the US economy!
It's just as simple as that!
Instead of blaming others, the professor should be grateful for the rest of the world for providing funds available to the US!