tag:blogger.com,1999:blog-6297413898275266606.post4378383278144919829..comments2024-03-27T18:15:59.096+08:00Comments on Economics Malaysia: Mundell-Fleming In Action: The Trilemma Facing China And Indiahishamhhttp://www.blogger.com/profile/06265308095732759923noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-6297413898275266606.post-26692167646514870152011-11-24T22:56:11.059+08:002011-11-24T22:56:11.059+08:00I don't have much to add there, except he'...I don't have much to add there, except he's probably overstating the impact of interest rates. As a rule of thumb, interest rates as a policy tool are only effective with a well-developed financial sector and deep capital markets, which most developing countries don't have. In China's case, financial sector development has taken a back seat - I just don't see interest rate hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-22756166997711641952011-11-24T11:00:59.038+08:002011-11-24T11:00:59.038+08:00Hi Hisham, below is from Pettis, i think is releva...Hi Hisham, below is from Pettis, i think is relevant to this topic. any comment?<br /><br />"But I remain very, very skeptical. Low consumption levels are not an accidental coincidence. They are fundamental to the growth model, and the suppression of consumption is a consequence of the very policies – low wage growth relative to productivity growth, an undervalued currency and, above all, HuaYongnoreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-32341954272270400632011-11-19T02:00:31.627+08:002011-11-19T02:00:31.627+08:00jangan gua kena spam tag lagi beb!
bro ...the Chi...jangan gua kena spam tag lagi beb!<br /><br />bro ...the Chinese Premier just shown their cards...<br /><br />"We should also carry out more research on new areas <b>such as settlement of regional trade in local currencies</b>, and seek better ways to reduce time and cost of trade and mitigate the impact of the international financial crisis in the region. Refer <a href="http://satDhttps://www.blogger.com/profile/03495554463280249599noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-12334368784179489182011-11-17T18:36:53.832+08:002011-11-17T18:36:53.832+08:00You got tagged as spam bro :)You got tagged as spam bro :)hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-40499234434991537502011-11-17T17:41:38.833+08:002011-11-17T17:41:38.833+08:00resend: (went missing somehow??) bug??
-----------...resend: (went missing somehow??) bug??<br />-------------------<br />bro the PVP is a payment system that uses a direct cross market EUR/CNY or MYR/CNY bypassing the need for USD<br /><br />refer here for the HKMA Initiative<br />http://bit.ly/suCrdD (ppt file)<br /><br />Essentially if mainland pushes for greater usage of CNY (via domestic regulation) for their exporters then a direct cross FX satDhttps://www.blogger.com/profile/03495554463280249599noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-65921497925009790382011-11-17T11:39:29.906+08:002011-11-17T11:39:29.906+08:00bro the PVP is a payment system that uses a direct...bro the PVP is a payment system that uses a direct cross market EUR/CNY or MYR/CNY bypassing the need for USD<br /><br />refer here for the HKMA Initiative<br />http://bit.ly/suCrdD (ppt file)<br /><br />Essentially if mainland pushes for greater usage of CNY (via domestic regulation) for their exporters then a direct cross FX market will be developed in EUR/CNY and the respective ASEAN satDhttps://www.blogger.com/profile/03495554463280249599noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-61955858433372593382011-11-17T08:19:19.439+08:002011-11-17T08:19:19.439+08:00Bro, most of what you said went right over my head...Bro, most of what you said went right over my head :)<br /><br />But from my perspective, it looks like they're really forgoing financial sector development, opting instead to use HK which already has a first world financial sector. Yes, any weakening of capital controls will be a serious threat to financial and monetary stability for China.<br /><br />As for being a true alternative to USD/hishamhhttps://www.blogger.com/profile/06265308095732759923noreply@blogger.comtag:blogger.com,1999:blog-6297413898275266606.post-62196176108168742872011-11-17T02:17:31.374+08:002011-11-17T02:17:31.374+08:00China pelik sikit...still trying to figure out the...China pelik sikit...still trying to figure out their gameplan... meet up with HKMA folks sometime back, they r aggressively building Payment Vs Payment RTGS link with major centers to link direct with HongKong. BOC acts as the Primary payment agent for onward RTGS in Mainland Clearing. The system liquidity is supported via an offshore Interbank Market based in HongKong with 400 to 500Bp lower satDhttps://www.blogger.com/profile/03495554463280249599noreply@blogger.com