Economics, Econometrics and Finance
4 years ago

China's RMB Exchange Rate Misalignment Uncovered: What It Means for You

East Asian Economic Review
How Is the RMB Exchange Rate Misaligned? A Recent Application of Behavioral Equilibrium Exchange Rate (BEER) to China
Yuming Cui

Paper Summary

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The article examines how the Chinese currency exchange rate is out of balance. By using a method called Behavioral Equilibrium Exchange Rate (BEER), the researchers analyzed the situation. They found that the RMB exchange rate in China is misaligned.