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| Author: | Zheng, Zeqiang |
| Title: | Foreign exchange reserves and inflation (original in Chinese) |
| Journal: | Economic Problems (c)
1996 : 1, p.16-20 |
| Index terms: | FOREIGN EXCHANGE INFLATION |
| Language: | chi |
| Abstract: | There exists an internal conductive mechanism between foreign exchange reserves and inflation, that is, "foreign exchange reserves--money supply--inflation". The adequate foreign exchange reserves help ease inflation. According to China's national situation, it is good to keep the state's foreign exchange reserves at slightly higher than middle level, that is, USD 50-60 billion. But at present, China has a total foreign exchange reserve of USD 70 billion, which should be given adequate attention. |
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