Showing 1 - 10 of 655
for China. (1) China's economy is on the overheating side of internal balance, and appreciation would help easy … inflationary pressure. (2) Although foreign exchange reserves are a useful shield against currency crises, by now China's current … economy like China can achieve adjustment in the real exchange rate via flexibility in the nominal exchange rate more easily …
Persistent link: https://www.econbiz.de/10013232023
The objective of this paper is three-fold. First, the monetary and exchange rate regimes of the Asian countries are described and analyzed. The degrees of flexibility in exchange rates and capital controls vary across countries. Some countries have adopted a flexible inflation targeting...
Persistent link: https://www.econbiz.de/10012980662
This paper analyzes the consequences of the internationalization of the Chinese renminbi for the global monetary system … moderate the perceived need for insurance, and China would have to loom large in both solutions …
Persistent link: https://www.econbiz.de/10013087068
China and America's other trading partners manipulate their exchange rates, and (b) the nature of the Chinese exchange rate … bilateral deficit, though other variables also turn out to be quite important. On the issue of China's de facto exchange rate …
Persistent link: https://www.econbiz.de/10012776947
This paper studies how a rise in China's share of U.S. imports could lower pass-through of exchange rates to U … exporters. The model predicts that certain conditions are necessary to facilitate this 'China explanation' for falling pass …-through regressions indicating how to include the China share. Panel regressions over 1993-1999 support the prediction that a high China …
Persistent link: https://www.econbiz.de/10012759674
The paper updates the answer to the question: what precisely is the exchange rate regime that China has put into place …
Persistent link: https://www.econbiz.de/10013244399
We identify a disconnect between historical and model-based assessments of the costs of currency pegs due to nominal rigidities. While the former attribute major contractions and massive unemployment to currency pegs, the latter find miniscule welfare losses. The goal of this paper is to...
Persistent link: https://www.econbiz.de/10013128901
We contribute to the debate on the macroeconomic effects of fiscal stimuli by showing that the impact of government expenditure shocks depends crucially on key country characteristics, such as the level of development, exchange rate regime, openness to trade, and public indebtedness. Based on a...
Persistent link: https://www.econbiz.de/10013136746
The prospects of expansionary monetary policies in the advanced countries for the foreseeable future have renewed the debate over policy options to cope with large capital inflows that are, at least partly, driven by low interest rates in the financial centers. Historically, capital flow...
Persistent link: https://www.econbiz.de/10013117393
We show that even when the exchange rate cannot be devalued, a small set of conventional fiscal instruments can robustly replicate the real allocations attained under a nominal exchange rate devaluation in a dynamic New Keynesian open economy environment. We perform the analysis under...
Persistent link: https://www.econbiz.de/10013117401