Chinese Yuan
Today, Chinese economic situation is much better than most of other industry countries. Although Chinese GDP growth slowed for SARS from 9.9 percent in the first quarter, it still grew 8.2 percent in the first half of the year. It is much more higher than just 1-2% of other main industry countries, such as Japan, European Union, and the United States. In addition, the foreign direct investment rose by 34.4% while trade surplus extended to 4.5 billion U.S dollars that was mainly contributed by the trade with the United States. The United States, European Union and Japan stated that China is plundering their global market share with unfair competition advantage, which is made by cheap currency policy. They complained that China is keeping the international value of its currency low to make its exports cheaper when purchased with other currencies, like dollars. "The Chinese Yuan has been tightly pegged to the U.S. dollar," they said. "Given China's enormous growth since 1994, this fixed level most likely does not reflect its true value." (http://www.bizjournals.com/pacific/stories/2003/07/14/daily48.html?jst=s_rs_hl) Revaluation of Chinese Yuan has becoming the hottest issue in the world presently. ¡°For weeks, ev
The only super country is suffering from economic depression, although the government have tried several ways to stimulate economy. There are two main possible reasons for United States support the claim of reveluate Renminbi, economy and politics. In addition, appreciation of Renminbi will cause damage to interests of Japanese corporations. Over the past decade, much of the world's manufacturing had moved to China for cheap labor and resources, include Japanese enterprises. A great deal of Japanese corporations set their manufacture bases in China instead of Japan for lower cost. So, if the appreciation of Renminbi comes true, those Japanese enterprises will suffer from it.
Some topics in this essay:
Europe US¡±,
Journal July,
Japan Furthermore,
Renminbi Chinese,
Chinese Renminbi,
South Korea,
Price Indexes,
Furthermore China,
Dollar Moreover,
Iraq American,
appreciation renminbi,
foreign currency reserve,
currency reserve,
foreign currency,
trade surplus,
chinese government,
government bond,
bush administration,
renminbi chinese,
chinese economy,
appreciation renminbi cause,
policy makers,
huge foreign currency,
chinese foreign currency,
chinese trade surplus,
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Approximate Word count = 2540
Approximate Pages = 10 (250 words per page double spaced)
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