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Future of China's Exchange Rate Policy

Future of China's Exchange Rate Policy

          
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About the Book

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 since in the first twenty-five years of economic reform China's trade and current account surpluses were quite small by East Asian standards, averaging less than 2 percent of GDP.

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 renminbi 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 renminbi.


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Product Details
  • ISBN-13: 9780881324167
  • Publisher: Peterson Institute for International Economics
  • Publisher Imprint: Peterson Institute for International Economics
  • Depth: 13
  • Height: 230 mm
  • No of Pages: 124
  • Series Title: Policy Analyses in International Economics
  • Weight: 204 gr
  • ISBN-10: 0881324167
  • Publisher Date: 01 Jul 2009
  • Binding: Paperback
  • Edition: 1
  • Language: English
  • Returnable: N
  • Spine Width: 7 mm
  • Width: 160 mm


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