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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title The “real” causes of China’s trade surplus
Organization Unit
Authors
  • Zheng Song
  • Kjetil Storesletten
  • Fabrizio Zilibotti
Item Subtype Original Work
Refereed No
Status Published in final form
Language
  • English
Journal Title Vox
Publisher Centre for Economic Policy Research
Geographical Reach international
Page Range online
Date 2010
Abstract Text China has amassed $2.4 trillion of foreign reserves over the last two decades. This column argues that it is wrong, and even dangerous, to blame this on a manipulation of the exchange rate. Instead it proposes a structural theory emphasising that credit market imperfections require private firms to build up internal savings which have been channelled into foreign bonds.
Free access at Official URL
Official URL http://www.voxeu.org/index.php?q=node/4985
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