US Dollar Index Volatility Shaping China's Import and Export Trends
The study looked at how the value of China's currency and the US dollar affect China's imports and exports. They used a special model to analyze the data from 2001 to 2010. The results showed that China's currency has a big impact on exports but not as much on imports. The US dollar's value also affects both exports and imports. The US dollar's value influences China's currency, but not the other way around. Since China joined the WTO, trade has been affected by the US dollar's value as well as China's currency. These findings can help shape China's currency and trade policies.