Cheung, Yin-Wong; Chinn, Menzie David; Fujii, Eiji - 2022
We examine whether the Chinese exchange rate is misaligned and how Chinese trade flows respond to the exchange rate and … represented by a trade weighted exchange rate - but the relationship is not always precisely estimated. In addition, the direction … capital stock is accounted for. Thus, the China-US trade balance should respond to real exchange rate and relative income …