G20 Special Session2: China`s Currency Policy ...
[ G20 Special Session 2 ] ‘China's Currency Policy & Global Imbalance’
[Moderator] Chan-guk HUH, Professor of Economics, Chungnam National University
[Presenter] Francis Warnock, Professor of Darden Business School, University of Virginia
[ Description ]
One of the hottest topics in the global financial market right now is Yuan revaluation. This issue has been especially contentious between US and China, often dubbed G2 for their hegemonic influence. China for one has kept the value of the Yuan artificially low to boost exports, to limit imports and attract foreign investment. This, according to some, has contributed to global imbalance in trade, and the US has continuously called upon the Asian power to allow its currency to appreciate. China, however, has refused to comply; saying that sudden rise in the value of the renminbi can seriously hurt its export competitiveness and destabilize its financial market. This session will offer an insight on why this issue has caused such a conflict between G2 and whether revaluation of the Yuan can really alleviate the global imbalance.
