Read Anywhere and on Any Device!

Subscribe to Read | $0.00

Join today and start reading your favorite books for Free!

Create Free Account

China's Exchange Rate Policy: Options and Prescriptions

Morris Goldstein

0/5 ( ratings)

Over the past five years China has emerged as the world's largest global surplus economy; indeed by 2007-08 the size of its surplus relative to its GDP was of a magnitude unprecedented for a large trading economy. This development is especially surprising because in the first twenty-five years of economic reform, China's trade and current account surpluses were very small by East Asian standards. This study provides a comprehensive analysis of the key economic challenges facing the Chinese authorities in light of the still undervalued exchange rate, the large build-up of foreign exchange reserves, and more recently, the sharp decline in economic growth. It analyzes the implications of China's exchange-rate policy for the effectiveness of monetary policy, the transition to a commercially oriented banking system, the evolving structure of output and demand, and the risk of protectionism abroad. The policy-options portion of the study takes account of the significant real effective appreciation of the RMB over the past fifteen months and will contrast the pros and cons of a "stay-the-course" policy with that of a bolder, "three-stage" approach that would seek to maintain recent progress and to reduce even further the undervaluation of the RMB.

Format: ebook

Release: June 01, 2008

ISBN 13: 9780881325164

China's Exchange Rate Policy: Options and Prescriptions

Morris Goldstein

0/5 ( ratings)

Over the past five years China has emerged as the world's largest global surplus economy; indeed by 2007-08 the size of its surplus relative to its GDP was of a magnitude unprecedented for a large trading economy. This development is especially surprising because in the first twenty-five years of economic reform, China's trade and current account surpluses were very small by East Asian standards. This study provides a comprehensive analysis of the key economic challenges facing the Chinese authorities in light of the still undervalued exchange rate, the large build-up of foreign exchange reserves, and more recently, the sharp decline in economic growth. It analyzes the implications of China's exchange-rate policy for the effectiveness of monetary policy, the transition to a commercially oriented banking system, the evolving structure of output and demand, and the risk of protectionism abroad. The policy-options portion of the study takes account of the significant real effective appreciation of the RMB over the past fifteen months and will contrast the pros and cons of a "stay-the-course" policy with that of a bolder, "three-stage" approach that would seek to maintain recent progress and to reduce even further the undervaluation of the RMB.

Format: ebook

Release: June 01, 2008

ISBN 13: 9780881325164

More books from Morris Goldstein

Debating China's Exchange Rate Policy

4.2/5 ( ratings)

Banking's Final Exam: Stress Testing and Bank-Capital Reform (Policy Analyses in International Economics)

The Asian Financial Crisis: Causes, Cures, and Systemic Implications

Managed Floating Plus

Assessing Financial Vulnerability: An Early Warning System for Emerging Markets

The Global Effects Of Fund Supported Adjustment Programs

Safeguarding Prosperity in a Global Financial System: The Future International Financial Architecture

Trade, Currencies, and Finance

Rate this book!

Write a review?