This paper sheds new light on the external and domestic dimension of China's exchange rate policy. It presents an open economy model to analyse both dimensions of macroeconomic adjustment in China under both flexible and fixed exchange rate regimes. The model-based results indicate that...

This paper sheds new light on the external and domestic dimension of China's exchange rate policy. It presents an open economy model to analyze both dimensions of macroeconomic adjustment in China under both flexible and fixed exchange rate regimes. The model-based results indicate that...