How successful is chinas currency manipulation

This document discusses several topics related to China's currency (renminbi) and exchange rates: 1) It outlines different arguments from the US and China regarding China's devaluation of the renminbi, with the US citing its large trade deficit and China saying the move pegged the currency to a basket of currencies. 2) It explains that countries like Japan, South Korea, and others in Asia are less vocal than the US in criticizing China's currency valuation because they have strong economic ties to China and benefit from processing trade. 3) Finally, it discusses the potential consequences of China revaluing its currency higher, including reduced Chinese exports and improved trade balances and GDP for countries like the US

This document summarizes a presentation on the Chinese yuan currency. It introduces China's large population and status as the world's second largest economy. It then discusses the history of the yuan, including its peg to the US dollar from 1994 to 2005. In 2005, China switched to pegging the yuan to a basket of currencies and allowing it to float more freely. Since then, the yuan has appreciated by about 24% against the dollar. The document also notes political pressures on China to revalue its currency to reduce trade surpluses with countries like the US.

The Renminbi (RMB) was first issued in 1949 and China instituted a dual currency system in 1978 with the RMB only usable domestically. In the late 1980s and 1990s, China worked to make the RMB more convertible on current accounts. From 1994 to 2005, China pegged the informal value of the RMB to the US dollar. In the 2000s, the US pressured China to appreciate the RMB to decrease Chinese exports and preserve US manufacturing jobs. China resisted due to concerns over affecting exports and jobs. RMB appreciation could impact China's economy, exports, investment, and production while benefiting consumers and potentially creating new jobs through innovation and industrial upgrading.

The document discusses the impact of the Chinese yuan on the Indian and world economy. It begins by providing background on the evolution of the yuan. It then examines why China devalued the yuan and the impact this has on key Indian sectors like textiles, chemicals, and metals through increased competition and lower commodity prices. The document also notes risks to the Indian rupee from volatility and lower exports. Globally, it discusses increased uncertainty from China's role in global trade and finance and the document analyzes effects on regions/countries including impacts on the US, Brazil, and African nations from currency fluctuations.

Concepts of Currency Depreciation, Its macroeconomic effects, various ways to control it. Causes of Currency Depreciation. Currency depreciation and International Business

Quantitative easing (QE) policies like QE2 impact the global economy in several ways. QE2 will likely weaken the US dollar over the long term due to increased money supply. A weaker dollar raises commodity prices like oil and boosts carry trade flows. It also puts pressure on sovereign debt and impacts China's foreign exchange reserves by devaluing the dollar assets they hold. Emerging markets face appreciation of their currencies which impacts exports while Europe sees weaker recovery due to less competitive exports to the US.