Under-signaling

Treasury Secretary Janet Yellen said the Biden administration would be prepared to use all its sanctions tools against China if Beijing moved aggressively toward Taiwan.

“I believe we’ve shown we can” impose significant pain on aggressive countries, as evidenced by sanctions against Russia, Yellen told lawmakers Wednesday as she testified before the House Financial Services Committee. “I think you should not doubt our ability and resolve to do the same in other situations.”

Here is the full Bloomberg story.  If I were Xi Jinping, I would be heartened and encouraged by that ultimately rather lukewarm threat.