Do the Chinese Exchange Rate and Trade Policies Violate International Rules?
China is accused of pursuing anti-rest-of the-world policies that cause the massive trade deficit of the US and the decline of its manufacturing industry. Specifically China is accused of adopting an exchange rate policy whereby a weak currency is maintained to the detriment of the rest of the world and in violation of the IMF rules. The Chinese are also accused of saving too much for the good of the rest of the world and adopting an export-led growth model. The exchange rate and trade policies of China represent, according to some, a violation of WTO rules. These accusations are discussed, reaching the conclusion that there is nothing immoral or illegal about Chinese policies.
Volume (Year): 4 (2012)
Issue (Month): 2 (June)
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