1. All at once.
- Subjects
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RENMINBI , *FOREIGN exchange rates , *CAPITAL movements , *EXPORTS , *FINANCIAL policy - Abstract
The article discusses China's approach to managing its exchange rate, highlighting the inherent challenges posed by the monetary-policy "trilemma," which involves balancing a stable currency, free capital flows, and an independent monetary policy. China has been easing its monetary stance in response to economic challenges, but this has led to a weakening of the Yuan. While a weaker currency can boost exports and prevent deflation, China also desires yuan stability to prevent further declines.
- Published
- 2023