Research on East Asian Currency Cooperation and the Choice of RMB Exchange Rate System

Author: Liu Zhenlin
Publisher:
Publish Date: 2006-05-01
Features: This paper takes the rise of East Asian monetary cooperation and the "theory of undervaluation of the RMB exchange rate" as entry points for current hot issues in international economics, comprehensively elaborating on the relationship between East Asian monetary cooperation and the choice of the RMB exchange rate system, the cost-benefit analysis involved, and its implications for China's exchange rate system reform. This paper takes the rise of East Asian monetary cooperation and the "theory of undervaluation of the RMB exchange rate" as entry points for current hot issues in international economics, comprehensively elaborating on the relationship between East Asian monetary cooperation and the choice of the RMB exchange rate system, the cost-benefit analysis involved, and its implications for China's exchange rate system reform. The geographical scope of East Asian monetary cooperation referred to in this paper, unless otherwise specified, generally refers to the "10+3" region of East Asia, which includes the 10 ASEAN countries, China, South Korea, Japan, and the Hong Kong, Macao, and Taiwan regions. The topic of this paper mainly originates from some "hot" events in the current global economy. Among them, the most prominent events that have influenced are mainly the following aspects: (1) The acceleration of the process of East Asian monetary cooperation; (2) The emergence of the "theory of undervaluation of the RMB exchange rate."