Yuan Trading Surges, Yen Strengthens

The video discusses the Bank of Japan's (BOJ) monetary policy, focusing on its reluctance to further negative interest rates and its emphasis on asset buying. It also covers the Chinese economy, highlighting record levels of bad loans and the potential for controlled currency depreciation by the People's Bank of China (PBOC) to stimulate growth. The discussion includes the challenges of managing currency depreciation without triggering capital flight, drawing parallels with past economic conditions in Europe and Japan.

What alternative do economists consider to stimulate growth in the context of low inflation?

What implications does the depreciation of the Chinese currency have on its economy?