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Wednesday, November 10, 2010

the exchange rate will continue to fight

the United States on the one hand their large mad money, on the other hand constantly on his country's exchange rate policy dissatisfaction. Experts predict that at this summit, in addition to national crusade against the United States, the United States will continue to talk on exchange rates.

Although EU leaders said at the end of last month, the EU summit in South Korea to promote the G20 countries to avoid "rate war." But now it seems, the exchange rate seems to be a war, but around the topic. Experts say, G20 summit agenda only two days, if the exchange rate disputes to waste valuable time, it is regrettable. Because it would lead to global financial security system, reform of international financial institutions, green growth, are likely to open a new era of world economy, an important issue to be out the window.

Many domestic experts said that the RMB exchange rate will inevitably increase the noise. The White House and Treasury 1st of this month said the U.S. does not expect to resolve at the meeting focus on China's exchange rate policy of the global tensions on global imbalances, or to reach a final agreement, but they believe the Seoul summit with China on the yuan is undervalued issues part of the dialogue.

From recent trends, the United States glued to the RMB exchange rate will not only hold their position on exchange rate issues involving the surface of which had been expanded. U.S. Treasury secretary, said, "to promote stronger, more balanced and sustainable global economic recovery, the challenge is a multilateral challenge, not just the responsibility of China and the United States. It takes all major policy reforms in both economies . "

German Chancellor Angela Merkel, 10, an interview that the artificially low exchange rate policy in favor of the parties will cause widespread damage. She said: "artificially low exchange rate policy to increase export opportunities seem shortsighted, and it will hurt everyone."

Institute of Contemporary International Relations China Institute of Chen Fengying the world economy that the Seoul summit priority is to implement Pittsburgh's strong, sustainable and balanced growth framework, the core issue is the coordination of national macroeconomic policies, exchange rate should only discussed within the framework of one of the issues.

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