China currency about 40% under real value

Geithner: China too slow with currency reforms

China is in a position where it can leave it's currency devalued by 40% and still come out ahead because of exports and low wages. Other countries might do the same like India, Viet Nam and a few others and might also get away with this. However, for developed countries to do this would drop wages on unionized workers so much and workers in general so much etc. that I don't think you would get the U.S. or Europe to devalue their currencies by 40% in order to be more fully employed even though that might actually work. 

So I'm not sure how the U.S. or Geitner plans to try to encourage or entice China to value it's currency to a more normal level. Any way you look at it millions of U.S. and European jobs have been lost directly because of this devaluation of the Yuan. So is it important? For those who have lost their jobs in Europe and the U.S. and around the world it is a  life or death question.