One lens through which to view global economic interdependence and the spillover of shocks is that of decoupling (and then recoupling). Decoupling between developed and developing countries can be seen in the strong economic performance of China and India relative to that of the United States...

Intro -- CESifo Seminar Series -- Contents -- Contributors -- Series Foreword -- Preface -- 1 Introduction -- I China's Exchange Rate Policy -- 2 United States, China, and the Rebalancing Debate: Misalignment, Elasticities, and the Saving-Investment Balance -- 3 The Role of the Chinese Dollar...