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Analysis on the Moderate Scale of Foreign Exchange Reserves in China
Author: LiFeng
Tutor: ZhangYuYing
School: Huazhong University of Science and Technology
Course: Western Economics
Keywords: Foreign exchange reserves Appropriate scale Needs analysis
CLC: F832.6
Type: Master's thesis
Year: 2005
Downloads: 314
Quote: 1
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Abstract
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Foreign exchange reserves is the core of the international monetary system , is also an important issue in the field of international finance , it is related to the countries the ability to adjust the international balance of payments and a stable currency exchange rate . Under the open economy , the foreign exchange reserves are important indicators to examine a country's foreign economic relations , both the manifestation of the macroeconomic results , is an important means of macroeconomic regulation and control . With the improvement of China 's economic and financial openness of the accelerated growth of foreign exchange reserves and the coordination between the domestic economy has become a more difficult problem . In view of this, the basic theory of the foreign exchange reserves is based on a theoretical analysis of demand factors and supply factors affecting China 's foreign exchange reserves as the dependent variable and the change in the amount of foreign exchange reserves (△ FOREX) , the introduction of the net export (NEXPORT), the balance of payments (BOP), the RMB exchange rate change (△ R), external debt change (△ FDEBT), foreign exchange reserves, the opportunity cost ( OC ) , foreign direct investment ( △ FDI) and external financing (△ FF) etc. as the independent variable model , used for the examination of the impact of the above factors on the scale of China's foreign exchange reserves growth . First on the basis of the text analysis , to establish a measure of China 's Foreign Exchange Reserves scale model , the model to take exports , the degree of openness of the economy , the burden of external debt situation , foreign direct investment , gross domestic product ( GDP ) as the independent variable , according to the rich historical data to calculate the theoretical value of the foreign exchange reserves in the decade from 1982 to 2002 in China , and then to be compared with the actual value of China 's foreign exchange reserves over the same period . The results showed that , indeed occurred in the past two decades , China 's foreign exchange reserves massive growth , and the growth rate in recent years , the actual value of the foreign exchange reserves have been around its moderate value fluctuations , but less volatile , that is, two decades, the growth of China 's foreign exchange reserves is more reasonable .
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CLC: > Economic > Fiscal, monetary > Finance, banking > China's financial,banking > Exchange rate,foreign financial relations
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