www.public4you.fora.pl

njlpkhgea

Facing the pressure of RMB appreciation Step

2 percentage points. On the one hand is the expectation of RMB appreciation, but also caused a lot of hot money waiting in the wings. Have both. At present, China's gradual opening up of capital, capital flows under the current account has a certain size,[link widoczny dla zalogowanych], China has adopted is pegged to the dollar stable monetary policy, so the independence of domestic policies had a powerful impact. In order to be more independent monetary policy, RMB appreciation has become a choice. Second, the impact of a renminbi appreciation on exports. The so-called devaluation to promote exports, promote the appreciation of the first refers to the ant import trade, and secondly, must meet the independence. China is a WTO member, it must fulfill the obligations of Member States pledged to gradually open RMB financial services, open capital current account,[link widoczny dla zalogowanych], can not continue to maintain stability of RMB exchange rate. Mundell proposed that if a country has adopted a fixed exchange rate system, then use the economic effects of monetary policy intervention is limited. Krugman believes that the capital flows, capital completely replace the circumstances, the central bank intervention is invalid. That will not affect the money supply is also difficult to influence the exchange rate. Can be seen freely convertible currency, an independent monetary policy, exchange rate stability is not the price elasticity of commodity and must be greater than 1. If less than 1, the import and export goods and the amount of change between the reverse occurs. Instead, exchange-rate appreciation will increase exports, reduce imports, the trade surplus increased. Fan Jin was calculated export prices of long-term elasticity of demand for the 0.8579, the absolute value of less than 1, means that for every 1% appreciation of RMB, assuming the foreign currency prices of exports increase with the proportion of exports will reduce the number of 0.8579 percent, However, due to export price increases by more than the rate of decrease in export volume, export value of RMB appreciation will not be reduced. 2, China's industrial structure. China's current three three ulterior two hundred thirty-three E Methodist Figure 31994--2004 ED and the actual export tax rebates should be tax RD (Unit: billion U.S. dollars) project main export products are labor-intensive products, while labor-intensive industries is the way out upgrading. Appreciation of the renminbi reduces the raw materials imported by enterprises and the cost of new equipment, can promote industrial upgrading. States must support the upgrading of export products, using monetary policy to solve the total problem, such as the use of fiscal policy to increase export tax rebates and accelerated depreciation to solve structural problems. To maintain the yuan does not appreciate the reduced export tax rebate rates, is not appropriate. China's export tax rebate from the situation (Figure 3) to reduce the accumulation of tax arrears,[link widoczny dla zalogowanych], will be conducive to upgrading China's industrial structure and adjustment of the RMB exchange rate. 3, the impact of foreign direct investment. China is a major factor in attracting foreign cheap labor and huge market potential. RMB appreciation will result in increased labor costs, thereby losing its competitive edge? In fact, China's cheap labor over the implementation of the international community has become a pretext for anti-dumping. If the Government can improve the RMB exchange rate while increasing the wages of workers, then for improving the living standards of workers, increase learning opportunities, improve labor productivity, thereby enhancing the competitiveness of enterprises is very useful. It would appear that the RMB appreciation for the enthusiasm of foreign investment is not large. 4, the impact of the stock and real estate. When a currency appreciation pressure of the situation faced by investors in the foreign exchange costs before appreciation of coins, once the currency appreciation, investors will be able to obtain the corresponding benefits. This allows investors to chase the assets of the country, of course, is the most attractive stocks and real estate. Investors will not only get access to the appreciation of stocks and real estate income and value-added benefits. Huge amounts of money into the stock market and housing market, share prices and housing prices. Further funds to enter,[link widoczny dla zalogowanych], two further increases to bubble. In appreciation of our country should control the import of luxury goods. As long as the expected appreciation there will continue to have an influx of speculative funds. Therefore, the choice should be appropriate appreciation of the time, otherwise easily lead to the bubble economy. Third, the conclusion in a stable and continue to improve under the premise of the export tax rebate policy, the RMB exchange rate reform should be to the market direction. Even a modest appreciation of the RMB appears on the export trade, and other related industries will not have much impact: China's export tax rebate policy support and huge cost advantage of Chinese products will be supported by the modest revaluation of the RMB to live. Moreover,[link widoczny dla zalogowanych], the appreciation of the renminbi is conducive to imports, China's import structure by products of raw materials and resources, appreciation of the beneficial use of world resources of the industrial structure adjustment of China. �� economic and technological cooperation 2005.1Is ~ ~ a