Will the Renminbi Emerge as an International Reserve Currency?

The global reserve system can be strengthened by increasing the role of alternative currencies. A gradual evolution to a multicurrency system reduces pressure on a single reserve currency issuer from an ever‐growing balance‐of‐payments deficit. It also allows countries to better diversify their foreign exchange holdings. Given the continuing strong economic growth in the China and its growing influence on the world economy, the renminbi will likely emerge as a new international currency. However, this is contingent on the China accepting a more convertible capital account and developing an efficient financial system. Internationalising the renminbi will likely be a gradual and drawn‐out process. Simulations show that, with greater convertibility, the renminbi could gradually become an international currency within Asia and beyond – sharing from 3 to 12 per cent of international reserves by 2035.     

Global Currency War?

Economic theory has it that,in a fragile economy, every country wants to expand its exports,and low currency values can help make products cheaper to international buyers-A country's trade balance is simply an accounting identity that by definition matches the flow of goods and capital.     

Will The Reminbi Be Devalued?

Since early 2001, many Asian countries have devalued their currencies. AsChina's net exports keep on decliningthis year, how much longer the RMB cansustain its stability has again been drawing people's attention both at home andabroad. In this ever-heated argument,the majority of people believe that theRMB will not be devalued in the nearfuture.The Situation is Not PromisingIn 2001, China's net export continues to decline as they have in the lastfew years. According to statistics, thegro…     

Resistance Will Be Futile? The Stigmatization (or Not) of Whistleblowers

Journal of Business Ethics - Does speaking up ruin one’s life? Organizational and whistleblowing research largely accept that “whistleblower” is a negative label that effects...     

The Aftermath of a Currency Collapse: How Different are Emerging Markets?

In currency crises, unlike in orderly devaluations, the financial markets dominate events. Previous research has shown that the output effects of a crisis tend to be worse in emerging markets, and the current account adjustment greater. This paper examines the evolution of a wider range of macroeconomic variables from two years before a currency collapse to two years afterwards. On the basis of twelve recent episodes, it is shown that currency collapses (crises followed by depreciations) have had a much greater adverse impact in emerging markets (defined as relatively high‐income developing countries exposed to international capital markets) than in developed countries. There is greater nominal and real depreciation, a substantial inflation shock, a much bigger output effect, and far greater import compression, whilst inflows of portfolio capital virtually cease. These differences are statistically significant. Nevertheless there is wide variation n the post‐collapse experience of the six emerging markets studied (Mexico, Thailand, Korea, Indonesia, Russia and Brazil). Although all six experienced a sudden stop or even a reversal of capital flows and very sharp nominal depreciations, inflation remained low in Thailand, Korea and Brazil, and output losses were comparatively small in Russia and Brazil. Previous studies of individual crises suggest that important factors are the state of the banking system and its vulnerability to currency movements, the ability of the authorities to establish a credible macroeconomic policy after the collapse, and whether the crisis triggers significant political instability.     

Which Month This Year Will China Join the WTO?

Around SummerChina and the USA reached an agreementon China's entry into the WTO in December 1999,but it will go into effect after the US Congressdecided to give China permanent normal traderelations. Economic and trade experts think thatalthough the US congress will have debates onthe agreement, it can be passed in 2000.On November l, 2000, Jiang Zemin,President of China, stressed once again in Beijingthat the WTO negotiation was a win-win deal. Healso pointed out that the Sino-US …     

When Will the “Glass Door” Be Broken?

During the past year,Sinopec's Maotai spirit scandal and the state-run banks' unreasonable fee collection made reforming the monopolized sectors more desired.How to break monopoly is also one of the hottest topics among the representatives and members at this year's NPC and CPPCC.During the NPC and CPPCC,several representatives and members called for the earliest formulation of     

Happy New Year of The...What?

Every person is indeed looking for strength and success in their lives.As the last of the fireworks blasts off its sparklv salute to mark the turn of the New Year,we say farewell to the graceful strength which galloped in on the Year of the Horse,and warmly welcome the Year of the Sheep.Sparks of debate have fired heavy discussions     

If Advertising Won't Die,What Will It Be? Toward a Working Definition of Advertising

Answering recent calls for a new definition of advertising, we identify three dynamics—(new) media and formats, (new) “consumer” behaviors, and extended effects of advertising—that drive the evolution of advertising. Based on these, and a survey of advertising academics and professionals, we formulate an updated working definition of advertising as “brand-initiated communication intent on impacting people.” We also test and validate this definition and the three dynamics in a content analysis of recently published advertising research (2010 to 2015). In doing so, we hope to contribute to a more diverse and contemporary development of advertising research.     

Will there be a worldwide recession?

In recent weeks, fears of a worldwide economic recession have become widespread because more and more symptoms appear that resemble those at the start of the great depression of 1929. However, wrong conclusions may be drawn from similar symptoms unless basic development trends as well as the differences in overall data and in functional relations are seen at the same time.     

Will that brand extension hit legal headwinds? The natural expansion of a trademark

Entering a new product category or new geographic area may mean adding one or more new competitors with names similar to that of the now-extended brand names those competitors have trademarked or can claim by common law as first users. A company extending its brand therefore may be unable to use its own trademark legally unless it can show the brand extension as a natural expansion. Most such lawsuits settle, but this study uses legal research methods to examine 12 that went to trial. Results show a brand extender most often prevailing in court if and only if (1) its extension into a new product category is seen as similar to its current offerings or (2) its geographic expansion is seen as simply moving into an area in which it already has market presence. By contrast, a firm may lose out to a company already using a similar name for a diverse set of reasons: products differing from their current offerings, differing trademarks, weak marks, or if buyers seem unlikely to encounter both users of the name in question. But no bright line divides winners from losers.     

What Should Be the EU’s Approach to Global Trade?

For a global player like the EU, it must adequately respond to US unilateral actions and not give in to threats in order to preserve its credibility. However, it is not in its interest to let trade conflicts escalate and be drawn into trade wars.It is worth noting that through the bilateral rules established in the context of a comprehensive trade agreement, the EU not only influences global norms and standards but that those in turn feed back into the EU’s economic order in a way that traditional trade agreements have not. They can therefore either reinforce the European model or weaken it.     

Then And Now——How The Global Financial Crisis Will Affect Chinese Outbound investment

1. The future of outbound M＆A for Chinese enterprises
The background
As we read in the press lately, China＇s trade surplus and foreign-exchange reserves have fuelled its growing overseas M＆A activities over the last several years. Most commentators believe that this outbound activity will continue to increase. Some recent reports suggest, however, that since the current financial crisis began, there has been a slow down in China outbound M＆A activities,     

Federal Reserve Independence in the Aftermath of the Financial Crisis: Should We Be Worried?

The extraordinary circumstances of the past few years have led to extraordinary responses by the Federal Reserve and other central banks. These ventures into uncharted waters have heightened political scrutiny to the point of raising concern about future independence. In discussing independence of the Federal Reserve, it is important to separate its regulatory and supervisory functions from its monetary policy function. It is the latter in which the question of independence is most important. History indicates that independent monetary policy has been a powerful deterrent to inflation. This paper outlines the threats to Federal Reserve independence, particularly as it exists from the unconventional policies that it pursued to mitigate the financial crisis. Economists have an important role in making the case that monetary policy remains independent.