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Essay Details:
Essay text:
True, Japan also has been engaging in largescale,
protracted, one-way exchange market intervention to keep its currency (the yen) from rising;
indeed, Japan's intervention in the first quarter of 2004 was just about as large as China's intervention for
all of last year.
And yes, in emerging Asia where public criticism of China's exchange rate policies has been
milder than elsewhere, concerns would be lower if some of these countries had a clearer picture of how to
respond to the broader competitive challenge raised not only by China's low labor costs but also by the
skill upgrading of China's exports...
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