The dollar declines in response to the drop in the target Fed Funds rate. What next?
Category Archives: China
Four Observations on Import and Export Prices and the Dollar
Some delayed reflections on exchange rates, trade prices, and the messages from the August data.
Saving Glut Redux
Bernanke recaps his interpretation of the explanation for global imbalances. Is it any more convincing than the first time?
How does China retain monetary autonomy?
As I discussed in earlier posts, China retains some policy autonomy by virtue of the presence of capital controls. A recent working paper by Ma and McCauley attempts to quantify how binding the controls are.
Myths about, and Empirics on, Chinese Trade and FDI
There is a lot of hyperbole surrounding China’s entry into the world trading system. There is fear in countries that compete with China, there is fear that China is somehow orchestrating the transfer of technological prowess from foreign to domestic firms, and a host of other anxieties.
China, Reserve Accumulation, and (Further) Threats to Financial Stability
Revaluation and China’s Multilateral Trade Balance: First Estimates
Yin-Wong Cheung, Eiji Fujii and I have just completed a paper entitled China’s Current Account and Exchange Rate” for a conference on China’s Growing Role in World Trade. This paper follows up on some of the issues I laid out in these posts: [1], [2], [3], and [4].
What is Chinese GDP really doing?
Amidst all the discussion about rampant Chinese GDP growth, the appropriate conduct of macro policy in restraining that growth, and the implications for the components of aggregate demand, a simple question leads to complicated answers.
More on the Yuan and the Chinese Trade Balance
More speculation on the Yuan’s prospects. From Bloomberg:
Energy use in Japan
I was in Japan a week ago, giving lectures at some of the universities in Tokyo and the Bank of Japan. I couldn’t help but be struck by how differently energy is used in Tokyo compared with southern California.