RMB Exchange Rate Impact on Prices: A Cure for Inflation?
The article examines how changes in the value of the Chinese currency affect prices in the country. By studying the impact of the RMB exchange rate on import prices, corporate goods prices, and consumer prices, the researchers aim to understand how inflation can be influenced. The findings suggest that fluctuations in the RMB exchange rate can indeed affect domestic prices, providing insights into potential strategies for managing inflation in China.