3 thoughts on “What is the embodiment of the relationship between exchange rate and import and export, and international income and expenditure.”
Candace
Because the currency exchange rate is the price comparison of currency between the two countries, the fluctuations of the exchange rate will inevitably affect the price comparison of goods between the two countries, thereby affecting the import and export status of the commodities of the two countries and the trade balance between the country's opinions. Generally speaking, under certain conditions, the decline in the currency exchange rate of a country indicates that the depreciation of the country's currency will help the country's expansion of exports, reduce imports, and achieve a trade surplus. It is conducive to exports, and the long -term deficit will cause national trade. After the Asian financial crisis in 1998 and 1999, many foreign economists believed that RMB and Hong Kong dollars would depreciate, because they believed that currencies in major Southeast Asian countries had depreciated sharply. From this cause and effect In the competition of exports of exports in mainland China and Hong Kong, it will be obvious. Because the currencies of these countries have depreciated sharply, their goods still have considerable profits even if they have fallen significantly than the original selling prices in the international market. The depreciation of RMB and Hong Kong dollars can ensure export competitiveness in mainland China and Hong Kong. It is also the embodiment of the relationship between the exchange rate and the import and export, and the international revenue and expenditure.
The so -called RMB exchange rate is: the ratio of the RMB exchange foreign currency, taking the US dollar as an example: July 21, 2005: RMB and USD exchange ratio is 8.11RMB exchange for $ 1, that is, the exchange rate is 8.11 On the 22nd: RMB and USD exchange ratio is 6.82TMB exchanged for $ 1, the exchange rate is reduced to 6.82 , and 6.82 yuan can be exchanged for $ 1. It turned out to be 8.11 yuan. . This is called the decline in exchange rates If imports of US $ 100 in foreign products, the government first settled with foreign exchange (USD) to settle to $ 100. It turned out that 811 yuan was needed, which is equivalent to the cheaper of foreign products, which will encourage imports and increase imports. If export to foreign products is $ 100, foreign companies will give you $ 100 when settlement, but the US dollar is domestic in China. If it cannot be used directly, it must be exchanged to the government to RMB. Now 100 US dollars will be redeemed to you 682 yuan. If in 2005, it can be exchanged for RMB 811, which is equivalent to compressing the profit of export products. The cost can not be reduced, and even the increase in employment or taxation, the exported products will cause micro -profit or even losses, which will hit the enthusiasm of exports, or it can only increase the export price of the product to maintain the original profits, but the increase in price will rise. As a result, the decline in competitiveness has reduced orders, which has also hit exports. The appreciation of the renminbi is not good for China's export -dominated strategy in recent years! In short, the decline in exchange rate will increase the local currency, and then promote imports. At the same time, it also hit the export! It international speaking, if the exchange rate rises, you will buy foreign products higher. and the increase rate of exchange rates from the perspective of production situation, the price of production data settlement will rise. So the level of price will rise
Because the currency exchange rate is the price comparison of currency between the two countries, the fluctuations of the exchange rate will inevitably affect the price comparison of goods between the two countries, thereby affecting the import and export status of the commodities of the two countries and the trade balance between the country's opinions. Generally speaking, under certain conditions, the decline in the currency exchange rate of a country indicates that the depreciation of the country's currency will help the country's expansion of exports, reduce imports, and achieve a trade surplus. It is conducive to exports, and the long -term deficit will cause national trade. After the Asian financial crisis in 1998 and 1999, many foreign economists believed that RMB and Hong Kong dollars would depreciate, because they believed that currencies in major Southeast Asian countries had depreciated sharply. From this cause and effect In the competition of exports of exports in mainland China and Hong Kong, it will be obvious. Because the currencies of these countries have depreciated sharply, their goods still have considerable profits even if they have fallen significantly than the original selling prices in the international market. The depreciation of RMB and Hong Kong dollars can ensure export competitiveness in mainland China and Hong Kong. It is also the embodiment of the relationship between the exchange rate and the import and export, and the international revenue and expenditure.
The so -called RMB exchange rate is: the ratio of the RMB exchange foreign currency, taking the US dollar as an example:
July 21, 2005: RMB and USD exchange ratio is 8.11RMB exchange for $ 1, that is, the exchange rate is 8.11
On the 22nd: RMB and USD exchange ratio is 6.82TMB exchanged for $ 1, the exchange rate is reduced to 6.82
, and 6.82 yuan can be exchanged for $ 1. It turned out to be 8.11 yuan. .
This is called the decline in exchange rates
If imports of US $ 100 in foreign products, the government first settled with foreign exchange (USD) to settle to $ 100. It turned out that 811 yuan was needed, which is equivalent to the cheaper of foreign products, which will encourage imports and increase imports.
If export to foreign products is $ 100, foreign companies will give you $ 100 when settlement, but the US dollar is domestic in China. If it cannot be used directly, it must be exchanged to the government to RMB. Now 100 US dollars will be redeemed to you 682 yuan. If in 2005, it can be exchanged for RMB 811, which is equivalent to compressing the profit of export products. The cost can not be reduced, and even the increase in employment or taxation, the exported products will cause micro -profit or even losses, which will hit the enthusiasm of exports, or it can only increase the export price of the product to maintain the original profits, but the increase in price will rise. As a result, the decline in competitiveness has reduced orders, which has also hit exports. The appreciation of the renminbi is not good for China's export -dominated strategy in recent years!
In short, the decline in exchange rate will increase the local currency, and then promote imports. At the same time, it also hit the export!
It international speaking, if the exchange rate rises, you will buy foreign products higher.
and the increase rate of exchange rates from the perspective of production situation, the price of production data settlement will rise.
So the level of price will rise
The rise in exchange rates and the appreciation of the renminbi is conducive to import, not export, and the expenditure is relatively reduced.