The Evolving Role of China in the Global Economy (CESifo Seminar Series)

Experts analyze four factors in China's economic growth: exchange rate policy, savings and investments, monetary policy, and foreign direct investments. China is now the world's second largest economy and may soon overtake the United States as the world's largest. Despite its adoption of some free-market principles, China considers itself a "socialist-market economy," suggesting that the government still plays a major role in the country's economic development. This book offers a systematic analysis of four factors in China's rapid economic growth: exchange rate policy, savings and investment, monetary policy and capital controls, and foreign direct investment (FDI). Contributors offer fresh perspectives on the undervaluation of the renminbi, the dollar peg, and China's macroeconomic relationships with the rest of the world. They review factors shaping China's saving dynamics and analyze the growth of the private sector despite limited access to external finance. They examine the monetary policy independence of the People's Bank of China, offshore markets for China's currency, and the effectiveness of China's capital controls. Finally, they consider Chinese FDI in terms of China's growing demand for energy and raw materials, exploring the factors that drive China's FDI in the conventional oil-producing countries and in Africa. China's Exchange Rate Policy. United States, China, And The Rebalancing Debate : Misalignment, Elasticities, And The Saving-investment Balance / Menzie David Chinn ; The Role Of The Chinese Dollar Peg For Macroeconomic Stability In China And The World Economy / Gunther Schnabl ; Permanent And Transitory Macroeconomic Relationships Between China And The Developed World / Yueqing Jia And Tara M. Sinclair ; China's External Position : Simulations With A Global Macroeconomic Model / Lukas Vogel -- Chinese Savings And Investment. How Much Do We Know About China's High Saving Rate? / Guonan Ma And Wang Yi ; Why Is China's Saving Rate So High? A Comparative Study Of Cross-country Panel Data / Juann H. Hung And Rong Qian ; If You Try, You'll Get By : Chinese Private Firms' Efficiency Gains From Overcoming Financial Constraints / Galina Hale And Cheryl Long -- China's Monetary Policy And Capital Controls. Chinese Monetary Policy And The Dollar Peg / J. James Reade And Ulrich Volz ; Offshore Markets For The Domestic Currency : Monetary And Financial Stability Issues / Dong He And Robert N. Mccauley ; Crisis, Capital Controls, And Covered Interest Parity : Evidence From China In Transformation / Jinzhao Chen -- China's Fdi And Quest For Resources. China's Outward Direct Investment And Its Oil Quest / Xingwang Qian ; China's Investments In Africa / Yin-wong Cheung ... [et Al.]. Edited By Yin-wong Cheung And Jakob De Haan. Includes Bibliographical References And Index.