Debating China's Exchange Rate Policy

Debating China's Exchange Rate Policy
Author: Morris Goldstein
Publisher: Peterson Institute
Total Pages: 401
Release: 2008
Genre: Currency question
ISBN: 0881325392

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The debate on China's exchange rate

The debate on China's exchange rate
Author: Jialin Zhang
Publisher: Hoover Press
Total Pages: 36
Release: 2004
Genre: China
ISBN: 9780817945633

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China's Growing Role in World Trade

China's Growing Role in World Trade
Author: Robert C. Feenstra
Publisher: University of Chicago Press
Total Pages: 603
Release: 2010-03-10
Genre: Business & Economics
ISBN: 0226239721

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In less than three decades, China has grown from playing a negligible role in international trade to being one of the world's largest exporters, a substantial importer of raw materials, intermediate outputs, and other goods, and both a recipient and source of foreign investment. Not surprisingly, China's economic dynamism has generated considerable attention and concern in the United States and beyond. While some analysts have warned of the potential pitfalls of China's rise—the loss of jobs, for example—others have highlighted the benefits of new market and investment opportunities for US firms. Bringing together an expert group of contributors, China's Growing Role in World Trade undertakes an empirical investigation of the effects of China's new status. The essays collected here provide detailed analyses of the microstructure of trade, the macroeconomic implications, sector-level issues, and foreign direct investment. This volume's careful examination of micro data in light of established economic theories clarifies a number of misconceptions, disproves some conventional wisdom, and documents data patterns that enhance our understanding of China's trade and what it may mean to the rest of the world.

Debating China

Debating China
Author: Nina Hachigian
Publisher: Oxford University Press, USA
Total Pages: 274
Release: 2014-02
Genre: Business & Economics
ISBN: 0199973881

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An emerging star in the field of US-China policy pairs leading scholars from both the US and China in dialogues about the most crucial elements of the relationship.

China's Rise

China's Rise
Author: C. Fred Bergsten
Publisher: Peterson Institute
Total Pages: 292
Release: 2009
Genre: Business & Economics
ISBN: 0881324345

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Helps the United States and the rest of the world better comprehend the facts and dynamics underpinning China's rise. This book analyzes the data on China's economy, foreign and domestic policy, and national security.

Current Debates Over Exchange Rates

Current Debates Over Exchange Rates
Author: Congressional Research Congressional Research Service
Publisher: CreateSpace
Total Pages: 34
Release: 2015-01-20
Genre:
ISBN: 9781507735916

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Exchange rates affect the price of every country's imports and exports, as well as the value of every overseas investment. Following the global financial crisis of 2008-2009 and ensuing economic recession, disagreements among countries over exchange rates became more widespread. At the heart of disagreements is whether or not countries are using exchange rate policies to undermine free markets and intentionally push down the value of their currency in order to gain a trade advantage at the expense of other countries. A weak currency makes exports cheaper to foreigners, which can lead to higher exports and job creation in the export sector. There can also be implications for other countries. In general, exporters and firms producing import-sensitive goods may find it harder to compete against countries with weak currencies. Consumers and businesses that rely on inputs from abroad may benefit when other countries have weak currencies, because imports may become cheaper. The United States has found itself on both sides of debates over exchange rates. On one hand, some Members of Congress and U.S. policy experts argue that U.S. exports and U.S. jobs have been adversely affected by the exchange rate policies adopted by China, Japan, and a number of other countries. On the other hand, some emerging markets, notably Brazil, argued during the global financial crisis that expansionary monetary policies in the United States and other developed countries caused the currencies of developed countries to depreciate, hurting the competitiveness of emerging markets. However, these concerns have diminished as the dollar has strengthened in recent months. Through the International Monetary Fund (IMF), countries have committed to avoid "currency manipulation." There are also provisions in U.S. law to address "currency manipulation" by other countries. In the context of recent disagreements, neither the IMF nor the U.S. Treasury Department has determined any country to be manipulating its exchange rate. There are differing views on why. Some argue that countries have not engaged in policies that violate international commitments on exchange rates or triggered provisions in U.S. law relating to currency manipulation. Others argue that currency manipulation has occurred, but that estimating a currency's "fundamental" value is complicated, and that the provisions do not effectively respond to exchange rate disputes.

Does China Need a More Flexible Exchange Rate?

Does China Need a More Flexible Exchange Rate?
Author: Teng T. Xu
Publisher:
Total Pages: 114
Release: 2010
Genre: Foreign exchange rates
ISBN:

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"During the past few years, there has been heated debate - both domestically and internationally - about China’s exchange rate policy. At the heart of the debate are two fundamental issues: First, is the renminbi undervalued? If so, by how much; and second, toward what exchange rate regime should China move? This paper sheds light on the first issue by examining the "equilibrium" value of the renminbi and its alleged undervaluation, but focuses on the second issue - in particular, the risks to financial stability and the domestic costs of China’s current exchange rate regime. By reviewing a large number of Chinese and western literatures on a series of specific issues pertaining to China’s exchange rate policy such as: the revolution of the renminbi exchange rate regime since the start of the economic reforms 30 plus year ago; the "equilibrium" value of the renminbi and its alleged undervaluation; China’s fast growing current account surplus in recent years and its contribution factors; the risks to financial stability and other domestic costs of China’s current rigid exchange rate regime, this paper finds that the latest debates on the renminbi exchange rate regime in China mirror those in the west. In other words, there are same rival camps both inside and outside China. The synthesis of their findings is that greater exchange rate flexibility can resolve many of the challenges and obstacles posed by China’s current tightly managed exchange rate regime."--P. ii.

Controlling Currency Mismatches in Emerging Markets

Controlling Currency Mismatches in Emerging Markets
Author: Morris Goldstein
Publisher: Columbia University Press
Total Pages: 181
Release: 2004-04-25
Genre: Business & Economics
ISBN: 0881324574

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In most of the currency crises of the 1990s, the largest output falls have occurred in those emerging economies with large currency mismatches, a phenomenon that occurs when assets and liabilities are denominated in different currencies such that net worth is sensitive to changes in the exchange rate. Currency mismatching makes crisis management much more difficult since it constrains the willingness of the monetary authority to reduce interest rates in a recession (for fear of initiating a large fall in the currency that would bring with it large-scale insolvencies). The mismatching also produces a "fear of floating" on the part of emerging economies, sometimes inducing them to make currency-regime choices that are not in their own long-term interest. Authors Morris Goldstein and Philip Turner summarize what is known about the origins of currency mismatching in emerging economies, discuss how best to define and measure currency mismatching, and review policy options for reducing the size of the problem.

Gaining Currency

Gaining Currency
Author: Eswar Prasad
Publisher: Oxford University Press
Total Pages: 345
Release: 2017
Genre: Business & Economics
ISBN: 0190631058

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China's currency, the renminbi, has taken the world by storm. This book documents the renminbi's impressive rise to global prominence in a short period but also shows how much further it has to go before becoming a major international currency. The hype about its inevitable ascendance to global dominance is overblown.