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Why is it important for the Chinese yuan to become a major world currency?
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What is the major component of the money supply M1?
Currency in Circulation
What would happen to US financial markets if China floated its currency?
The simple answer is that the Chinese Renmimbi would rise in value against the US dollar, and therefore the US dollar would fall in value against the Renmimbi, firstly because of its massive trade surplus and secondly because of the continuing influx of investment capital to China. However, China buys large amounts of US currency in order to stabilise the value of its currency. By floating the Renmimbi, China would no longer need to do this, cutting off a major source of funding for America's current account deficit. While the United States continues to run a massive current account deficit, one impact of the withdrawal of Chinese funds would be a loss of liquidity in the US economy. As a result, America could either go into recession or print money for domestic circulation, with inflationary consequences. Another impact, if China immediately ceased US currency purchases, is that the US currency would probably go into free-fall against all other currencies, as the market attempted to find a value at which the US currency would not require Chinese support. The consequences of such a major disruption to the market would be catastrophic. It is important for US financial markets and the US economy generally, that China gradually frees up its currency, allowing the US currency to adapt, and that the United States reduces its trade deficit against the rest of the world.
Advantages of international trade in context to India?
Foreign currency is one of the major advantage.
How can other monetary systems affect the US monetary system?
Many -depending on trade and debt ratios with US UK, Germany ( Now Euro) Saudi, China, Japan, see major currency report on daily news with stock market report and this will give you an idea of which currency are important to US business and Govt
Why does Japanese currency have a weak exchange rate?
The Japanese currency has a weak exchange when compared to the major external currencies due to the difference in their trade balance and poor internal economic factors
Did the automobile become important in the 1920s?
Yes, it became a major form of transportation.
What is the currency and currency the symbol of cuba?
The major legal currency is the Cuban Convertible Peso.The symbol for it CUP.
What are major Chinese holidays?
chinese new year
Why is the US history such an important topic?
it is important to know the major events that changed our country's history that way we become good citizens
What is a million 1pennys?
It is 10000 major currency units. These could be dollars, pounds or other currency units.
What is the definition of devaluation of Indian currency?
The definition of devaluation of Indian currency is the loss of the value of the currency. This is a an adjustment of the country's currency value downwards compared to other major currencies in the world.
What do they celebrate instead of Christmas in China?
Christmas is not a traditional Chinese holiday. They don't really have something they celebrate in its place. However, they still have some major celebrations. Chinese New Year is a very important holiday in China.
What is the currency in Barcelona?
Barcelona is one of Spain's major cities and as Spain is a member of the EU, Barcelona's currency is the Euro.
What is the major component of the money supply M1?
Currency in Circulation
The last two major Chinese dynasties in its history were?
The last two major Chinese dynasties in history were the Qing Dynasty, and the Ming Dynasty. The modern Chinese government system began in 1912.
What was the major Chinese contribution to medicine?
Acupuncture!
What are the major cities of Chinese civilization?
harappa
