Dissertation > Excellent graduate degree dissertation topics show

A Empirical Analysis of Relationship between RMB Exchange Rate, Import Prices and Domestic Prices

Author: LiWei
Tutor: ChenYan
School: Ningbo University
Course: International Trade
Keywords: RMB exchange rate Import price Domestic price level Exchange ratepass-through
CLC: F832.6
Type: Master's thesis
Year: 2013
Downloads: 3
Quote: 0
Read: Download Dissertation

Abstract


The exchange rate is the core of the international trade operation and the changes of thesubject play a guiding role to determine the direction of trade and trade-scale. The import price isthe key to link exchange rates with domestic prices. Besides, the exchange rate fluctuations have animpact on domestic prices via import prices. Furthermore, the domestic price fluctuations not onlyhave an impact on export but also the demand for imported products. Generally speaking, theexchange rate pass-through is the starting point to analysis the relationship between the exchangerate, import prices and the domestic prices. The paper also tries to study the effects of the exchangerate fluctuations on import prices and the domestic prices. The complete exchange ratepass-through and incomplete exchange rate pass-through are distinguished according to whetherone unit of exchange rate fluctuation brings to the same degree of the price fluctuation. In a closedeconomy, the effects of the exchange rate to economy can be ignored. That is to say, there is noconduction effect of exchange rate on prices. Contrarily, the exchange rate fluctuation can cause thesame degree of the domestic price change in an open economy. In other words, the exchange ratepass-through is complete. Currently, the openness of Chinese economy is continuouslystrengthening. With the improving market force and the widening fluctuation of RMB exchangerate, exchange rate exerts an increasing conduction impact on prices. Given this, it is of greatsignificance to analyze the effect of RMB exchange rate fluctuations on China’s price which is ofgreat importance to control inflation and develop an appropriate monetary policy.The first chapter mainly raises the question, summarizes the related literatures of theexchange rate pass-through from the domestic and foreign dimensions and elaborates thesignificance of the research. in the second part, based on the conception and type of exchange rateconduction, it explores the detailed mechanism of price conducting effect on the fluctuation ofRMB exchange rate The third part analyzes the relationship between RMB exchange rate, importprice and domestic price level on the basis of describing the changes of them. Chapter four is theempirical analysis. Based on monthly data from July2005to December2011, the paper employedthe money supply, trade openness, RMB exchange rate and the domestic price level to study the RMB conduction effect on the import prices of Chinese economy and domestic prices. At last, thepaper gives the conclusions and proposes policy implications. The main conclusions are as follows.1. The fluctuations of RMB exchange rate has a direct impact on import price level and theimpact is of great significance.2. RMB appreciations indeed can relief the inflation to some extent. However, the effect is notobvious.3. There exists the price transmission chain of exchange rate pass-through.That means fromexchange rate fluctuations to import price, then to Ex-factory Price Indices of Industrial Productsand to consumer price at last.

Related Dissertations

  1. An Empirical Study on Effects of RMB Real Effective Exchange Rate on Zhejiang’s Exports and Imports,F752.6;F224
  2. Research on the Reason of Rmb Exchange Rate Fluctuation Based on Relative Purchasing Power Parity,F224
  3. The Appreciation of the RMB Exchange Rate’s Influence on China Foreign Trade and Countermeasures,F752
  4. An Empirical Investigation into Co-Movements between RMB Exchange Rates and the Global FX Market,F831.52;F224
  5. Changes in the Exchange Rate of Employment,F832.6
  6. Empirical Research of RMB Exchange Rate and Sino-Germany Bilateral Trade,F752.7;F224
  7. Study on Sino-US Trade Imbalance, Does RMB Exchange Rate Has Definitely Relationship with Sino-US Trade Imbalance,F224
  8. Empirical Study of Imported Inflation Influence on China’s Inflation,F822.5
  9. The Development of the Economic and Trade Relationship between China and USA after Financial Crisis and Related Problem Analysis,F752.7
  10. RMB exchange rate volatility and Sino-US Trade Balance Research,F752.7;F224
  11. Impact of exchange rate fluctuations on inflation empirical research,F822.5;F224
  12. An Analysis on Economic News from the Comparative Perspective of Critical Discourse,G212.2
  13. Research on the Substitution between Currency Revaluation and Inflation in Trade Balance,F822;F224
  14. Forecasting Rmb Exchange Rate Based on Wavelet Analysis and Support Vector Machine,F224
  15. Studies of Chinese Media’s National Discourse,G206
  16. The Study of RMB Exchange Rate and Inflation Risk,F822.5
  17. RMB Appreciation Influence on Export Trade of Jiangsu Mechanic and Electron Products,F426.4;F752.62
  18. RMB Exchange Rate System Research,F832.6
  19. RMB exchange rate changes on China 's import and export analysis,F752.6;F224
  20. Research on the Relationship between Foreign Exchange Rate and the Stock Price After the Foreign Exchange Reform in China,F832.51
  21. The Correlation between the Change of RMB Exchange Rate and the Adjustment of Trade Structure,F752.6;F224

CLC: > Economic > Fiscal, monetary > Finance, banking > China's financial,banking > Exchange rate,foreign financial relations
© 2012 www.DissertationTopic.Net  Mobile