On Jul 21, 2005, Beijing made its biggest monetary shift in more than a decade by revaluing the Chinese currency, the yuan: it reset the fixed value of its currency and dropped the fixed exchange rate, or peg, with the US dollar. While the United States, Japan, and the European Union have pressured China to institute further revelations, Beijing has been reluctant to make more changes due to concerns that a currency appreciation would lead to slower export growth, higher unemployment, and a decline in foreign direct investment. Sharma explores the future of US-Asian trade imbalances by examining how China's central bank has managed the yuan exchange rate in the past.
|Number of pages||6|
|Journal||Georgetown Journal of International Affairs|
|Publication status||Published - 1 Jan 2006|