Who cares about the Chinese Yuan?

The rise of China in the world economy and in international trade has raised the possibility of a rise of the Yuan as an international currency, particularly after the Chinese authorities have undertaken policy initiatives such as Yuan settlement and Yuan swap lines. In this paper, we measure one dimension of Yuan internationalisation: the role of the Yuan in the exchange rate arrangements of other economies. While the magnitudes are small, our findings show that as many as 34 currencies in the world have been sensitive to movements in the Yuan. This suggests that the Yuan potentially has a significant role to play in global exchange rate arrangements. Contrary to popular belief, however, we find a limited role of the Yuan among Asian. economies.Renminbi ; Yuan ; Exchange rate regime ; Internationalisation ; East Asia

A Conversation with Yuan Shih Chow

Yuan Shih Chow was born in Hubei province in China, on September 1, 1924. The eldest child of a local militia and political leader, he grew up in war and turmoil. His hometown was on the front line during most of the Japanese invasion and occupation of China. When he was 16, Y. S. Chow journeyed, mostly on foot, to Chongqing (Chung-King), the wartime Chinese capital, to finish his high school education. When the Communist party gained power in China, Y. S. Chow had already followed his university job to Taiwan. In Taiwan, he taught mathematics as an assistant at National Taiwan University until he came to the United States in 1954. At the University of Illinois, he studied under J. L. Doob and received his Ph.D. in 1958. He served as a staff mathematician and adjunct faculty at the IBM Watson Research Laboratory and Columbia University from 1959 to 1962. He was a member of the Statistics Department at Purdue University from 1962 to 1968. From 1968 until his retirement in 1993, Y. S. Chow served as Professor of Mathematical Statistics at Columbia University. At different times, he was a visiting professor at the University of California at Berkeley, University of Heidelberg (Germany) and the National Central University, Taiwan. He served as Director of the Institute of Mathematics of Academia Sinica, Taiwan, and Director of the Center of Applied Statistics at Nankai University, Tianjin, China. He was instrumental in establishing the Institute of Statistics of Academia Sinica in Taiwan. He is currently Professor Emeritus at Columbia University. Y. S. Chow is a fellow of the Institute of Mathematical Statistics, a member of the International Statistical Institute and a member of Taiwan's Academia Sinica. He has numerous publications, including Great Expectations: The Theory of Optimal Stopping (1971), in collaboration with Herbert Robbins and David Siegmund, and Probability Theory (1978), in collaboration with Henry Teicher. Y. S. Chow has a strong interest in mathematics education. He taught high school mathematics for one year in 1947 and wrote a book on high school algebra in collaboration with J. H. Teng and M. L. Chu. In 1992, Y. S. Chow, together with I. S. Chang and W. C. Ho, established the Chinese Institute of Probability and Statistics in Taiwan. This conversation took place in the fall of 2003 in Dobbs Ferry, New York.Comment: Published at http://dx.doi.org/10.1214/088342304000000224 in the Statistical Science (http://www.imstat.org/sts/) by the Institute of Mathematical Statistics (http://www.imstat.org

Chinese Control Yuan: An Independent Supervisory Organ of the State

The purpose of this Article is to introduce Western readers to the Control Yuan of the Republic of China. Although similar in purpose to the Ombudsman, the Control Yuan is a unique supervisory organ with roots in modern Chinese constitutional theory and in the traditional Chinese censorial administrative system

“Introduction: Oceanic Archives, Indigenous Epistempologies, and Transpacific American Studies”

Excerpt from Oceanic Archives, Indigenous Epistempologies, and Transpacific American Studies, edited by Yuan Shu, Otto Heim, and Kendall Johnso

Fractal structure in the Chinese yuan/US dollar rate

Price changes of the Chinese yuan/US dollar rate are found to display a Sierpinski triangle in an Iterative Function System clumpiness test. This fractal structure commonly emerges in “the chaos gameâ€, where randomness coexists with deterministic rules. We show that a threshold model with four states, two deterministic and two stochastic is able to replicate the properties of the yuan/dollar returns in general, and the Sierpinski triangle in particular.

Yuan-SDR exchange rate after the entry of Yuan into SDR basket

International Monetary System has appeared in a new form since Yuan was included in the currency basket of Special Drawing Rights (SDR) with a weight after the US Dollar and the Euro. In this new scenario, it is examined the inter-relationships among the exchange rates of Yuan-SDR, Yuan-US Dollar, nominal effective exchange rate (NEER) and real effective exchange rate (REER) of Yuan and seeks to find out any influence on Yuan per SDR due to changes in Yuan-US Dollar exchange rates along with the changes of NEER and REER respectively because in SDR basket Yuan exchange rate with currency baskets have been calculated daily under freely floating exchange rate for which China has to reform exchange rate mechanism and capital market structure. It is applied Hamilton decomposition regression filter of Yuan per SDR from 2017m1 to 2021m7 and found that the cyclical trend of Yuan SDR exchange rate is inverse U shaped and its cyclical pattern constitutes seasonal variations. Johansen cointegration test and vector error correction model was used and found that Yuan per SDR has long run causalities from the Yuan per dollar and NEER of Yuan respectively. Moreover, the Yuan per dollar, REER and NEER of Yuan have short run causalities from the Yuan per SDR exchange rate

The Role of the Real Exchange Rate Adjustment in Expanding Service Employment in China

It is widely accepted that China needs to shift from its past mode of export-led growth and start to rely more on domestic demand. What role could the real appreciation of the Chinese yuan play in this regard? We attempt to quantify the impact on the structure of the Chinese economy of the real appreciation of the Chinese yuan. We argue that the potential of the service sector to generate income and jobs may be significantly under-estimated by official statistics, as a result of the under-estimation of household consumption of services. While there is no evidence of large under-valuation for the Chinese yuan, we do find that a real appreciation in the order of 20% would bring the Chinese price level in line with the world average level, after the Balassa-Samuelson effect is factored in. In turn, such a real appreciation could increase the service share of employment by 7%.China; real exchange rate; service sector