Jermann, Urban J.; Wei, Bin; Yue, Vivian Z. - 2019
We document stylized facts about China's recent exchange rate policy for its currency, the renminbi (RMB). Our … empirical findings suggest that a "two-pillar policy" is in place, aiming to balance RMB index stability and exchange rate … RMB and the U.S. dollar index, we estimate the model to assess financial markets' views about the fundamental exchange …