This paper reviews the exchange rate policy debate and examines the impacts of the real exchange rate between the RMB and the US dollar on the bilateral trade between the two countries.L.CHENSchool
KEYWORD: Exchange rate policy; Trade imbalance; RMB 1 INTRODUCTION As is well known, China maintained a fixed exchange rate of the Chinese currency (RMB) against the US dollar from 1994 to 2005, during which it experienced a long and steady economic growth, and gained a dramatically increasing...
In recent years, there have been attempts by competitor nations notably China, Russia, and Iran to replace the dollar's exclusivity in bilateral trade. Their intention is to undermine the ability of the US to continue as the world's hegemon. It is argued that this outcome is unlikely to ...
dollar, China does manage the exchange rate of yuan to dollars so as to benefit its export-driven economy.2 Major Fixed Currencies Below is a list of some of the national economies and the corresponding rates that currently peg to the U.S. dollar as of 2023:3 Major Fixed Currencies ...
China’s Exchange Rate Impasse and the Weak U.S. Dollar.” CESIfo Working Paper 2386 - McKinnon, Schnabl - 2008Ronaid Mckinnon,Gunther Schnabl.China‘s ExchangeRate Impasse and the Weak U.S.Dollar. CesifoWorking Paper . 2008China’s Exchange Rate Impasse and the Weak U.S. Dollar.” ...
Most prominently, duties on imports from China were raised substantially in several steps. Such policies typically aim at improving the competitiveness of US-produced goods relative to rest-of-the world products. However, 2018 and 2019 also saw a notable appreciation of the US dollar against a ...
Treasury Secretary Janet Yellen and Federal Reserve Chairman Jerome Powell hinted this week that a digital dollar is a high-priority project for the U.S. China has ramped up efforts for a digital yuan to undermine the dollar and extend its influence. The benefits for Beijing woul...
However, from the published data, China's foreign exchange reserves increased by 769 billion 800 million yuan in the first quarter, and foreign exchange reserves showed a significant increase. Is there a direct relationship between the decline in US dollar and our foreign exchange reserves? < /st...
There was growing expectation in the early 2010s that with the shift in economic balance toward Asia, notably China, the share of the RMB in international payments would rise, culminating in a tripolar currency system consisting of the US dollar, the Euro and the RMB1. Even then, the US ...
When a company exports goods from China to the United States and gets paid in US dollars, what should it consider about the currency? A. The stability of the RMB. B. The exchange rate between the RMB and the US dollar. C. The inflation rate in the United States. D. The interest ...