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with the undervaluation of renminbi (RMB). But the Chinese Government hesitates to allow RMB to appreciate because of the … worry that RMB appreciations are contractionary thus have negative impact on China's economic growth and employment. The … purpose of this paper is to empirically assess the effects of RMB real exchange rate on China's output. The econometric …
Persistent link: https://www.econbiz.de/10012466112
After remaining close to 1 US Dollar since its inception in November 2020, the algorithmic stablecoin UST crashed in the two weeks of May 9th to May 15th, 2022, leading to a price collapse of the underlying LUNA token and the erasure of more than 50 Billion U.S. Dollar or 90% in market value
Persistent link: https://www.econbiz.de/10013334473
-for-tat responses between just the US and China would likely leave the dollar's role essentially unchanged. If both countries coordinate …
Persistent link: https://www.econbiz.de/10014322792
This paper explores the relationship between different funding structures--including the source, instrument, currency, and counterparty location of funding--and the extent of financial stress experienced in different countries and sectors during the sharp risk-off shock in early 2020 when...
Persistent link: https://www.econbiz.de/10014287355
China in the coming years. China had been a prime example of exported growth, benefiting from learning by doing, and by …, and the Global Financial Crisis forced China toward rebalancing, which is a work in progress. Reflecting on the …
Persistent link: https://www.econbiz.de/10012457723
This paper finds that limited exchange rate flexibility in the form of "fear of appreciation" significantly slows adjustment of current account imbalances, providing novel support for Friedman's conjecture regarding exchange-rate flexibility. We present a new stylized fact: floaters have faster...
Persistent link: https://www.econbiz.de/10013334498
dependent, suggest that the impacts of Renminbi (RMB) revaluation on the surplus are proportionally larger than on trade flows …Given the rapidly growing reserves in Asia (China, Japan, Korea, Taiwan) and the pressures from trading partners to …, and that changes in trade flows can be substantial. Different treatments of China's processing trade have small impact on …
Persistent link: https://www.econbiz.de/10012465061
implications of Renminbi (RMB) real exchange rate appreciation for adjustments in employment and wage rates. We stress differences …
Persistent link: https://www.econbiz.de/10012461093
There are large cross-sectional differences in how often US borrowers refinance mortgages. In this paper, we develop an equilibrium mortgage pricing model with heterogeneous borrowers and use it to show that equilibrium forces imply important cross-subsidies from borrowers who rarely refinance...
Persistent link: https://www.econbiz.de/10014468222
We evaluate whether the Renminbi (RMB) is misaligned, relying upon conventional statistical methods of inference. A …
Persistent link: https://www.econbiz.de/10012465806