Bemoaning the Chinese exchange rate when talking about the structure of the US exchange rate is looking increasingly unreasonable. I don’t think either country should be messing around with trade policy and intervention, and I think they are both doing irresponsible things. But if we are just going to look at the exchange rate lets …
Category Archive: Asia
Permanent link to this article: http://www.tvhe.co.nz/2011/11/21/should-the-us-really-keep-blaming-the-exchange-rate-with-china/
Oct
12
2011
Protectionism: What the ….
The US is pushing to start introducing duties on Chinese goods to make a “level playing field” given the currency “misalignment. Hold up a second. China maintains a “low” exchange rate by “saving” too much – and using that savings to do things like by US currency and bonds right. Any subsidy on Chinese exports …
Permanent link to this article: http://www.tvhe.co.nz/2011/10/12/protectionism-what-the/
Mar
22
2011
What’s going on with the dollar?
There was an interesting little shift in the dollar recently – one that was a little bit surprising at first look. In the past month the dollar has been falling, first as a result of the Canterbury earthquake, then due to the 50bp cut in the official cash rate by the RBNZ. This all makes …
Permanent link to this article: http://www.tvhe.co.nz/2011/03/22/whats-going-on-with-the-dollar/
Nov
22
2010
On the competitive devaluations
I like this post by Menzie Chinn at Econbrowser – primarily because I agree with it It is well worth a read on its own. I will however take some bits out for those who don’t want to leave right now:
Permanent link to this article: http://www.tvhe.co.nz/2010/11/22/on-the-competitive-devaluations/
Oct
06
2010
A step too far: The case against pursuing direct capital/trade/currency controls
To start off with I have to admit I like Bernard Hickey. I like the fact he has got out there, written about New Zealand economic issues, and pushed to add an open debate type platform to the discussion regarding the New Zealand economy. As a result, I may have not been critical enough when …
Permanent link to this article: http://www.tvhe.co.nz/2010/10/06/a-step-too-far-the-case-against-pursuing-direct-capitaltradecurrency-controls/
Dec
28
2009
Are excess reserves driving a “currency misalignment”
One of my favourite excuses for the “high” NZ dollar is currency reserves being built up overseas (in order to “keep their currency low” they need to buy up foreign dosh, building up currency reserves you see). It is an argument the US likes to make without actually doing any analysis as well. However, work …
Permanent link to this article: http://www.tvhe.co.nz/2009/12/28/are-excess-reserves-driving-a-currency-misalignment/
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