China devalues its currency because of trade, specifically export prices, not debt.
this is partially true ill give you credit, but if they do anything to raise their value or they call our bluff and try to collect on the debt the value of the dollar will fall, which will cost them billions

This is false. They don't have an incentive to support it. They can sell it and substitute it for another foreign currency or their own currency. Now clearly since they're not using their own currency because they don't trust it, they'll use a foreign currency. You're implying that has to be the dollar, which is false. The dollar isn't falling because of the FED's actions, it's falling because foreigners trust the Euro more than they trust the dollar. If you belief the opposite you're as dumb and delusional as Ron Paul. Furthermore foreigners could return to their own currency, if they regain trust in those. In light of the recent Arab spring that may actually happen now.
Please at least check yourself before you say something is false, from 99-03 the euro balloned as a world reserve currency, but it hasnt seen the huge gains since then. As of now the euro is around 25% wheres as the dollar holds strong at 60%. This is due to the GDP of the united states being the largest in the world. yes the combined efforts of all of europe does give it the slight edge, but the fact remains that they are a combined effort.

You can't borrow from yourself silly!
Exactly my point

Now none of these post contain a biased view saying americas this or that, its just an accurate rendition of the problem