We Are at a Level of Fair Value for Renminbi, Says Allianz's Chief Economist

We Are at a Level of Fair Value for Renminbi, Says Allianz's Chief Economist

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

FREE Resource

The transcript discusses the current valuation of the renminbi, suggesting it is at a fair level and not subject to active manipulation by China. It highlights China's economic strategies to maintain stability, including potential currency stabilization measures. The discussion also covers the impact of the ongoing trade war on China's growth and potential retaliation measures, emphasizing the global economic risks of escalating tariffs between the US and China.

Read more

5 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one reason China might avoid actively devaluing the renminbi?

To prevent higher domestic prices

To increase capital flight

To stimulate foreign investment

To boost export competitiveness

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How has China's external economic situation changed recently?

It has seen an increase in trade surpluses

It has shifted focus to domestic consumption

It has experienced a reduction in overall surpluses

It has maintained a stable surplus with the US

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What might China do to stabilize its currency in the short term?

Increase interest rates significantly

Implement strict capital controls

Engage in aggressive currency manipulation

Use reserves to prevent rapid exchange rate changes

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is one method China has used to maintain economic growth?

Increasing fiscal spending

Decreasing monetary supply

Limiting access to domestic markets

Reducing state-owned enterprise investments

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What could be a consequence of the US increasing tariffs to 25% on Chinese exports?

A reduction in China's domestic consumption

A boost in global economic growth

A decrease in China's export volume

An escalation in trade tensions