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Promoting consumption a better way to address Chinas imbalances: Argentine economist

Promoting consumption a better way to address Chinas imbalances: Argentine economist

分类:经济Business   更新:2010/4/15   来源:网络

Promoting consumption a better way to address Chinas imbalances: Argentine economist

    Boosting China's domestic consumption is a more effective way to achieve a balance in China's international payments and foreign trade than appreciating its currency, an Argentine economist says.
    In an interview with Xinhua on Tuesday, Roberto Lavagna, a former economy minister, discounted the arguments of some Western economists that an appreciation of the RMB would not only help rebalance global trade, but also ease inflationary pressures in China.
    In addressing the imbalance problems, he said, looking merely at the exchange rate factor is "one-sided," given the complexity of the economic structures and the issue of balance of payments.
    According to Lavagna, an appreciation of the RMB would only have a limited impact on China's domestic consumption. He stressed that Western countries should respect China's sovereignty concerning its exchange rate policy.
    Lavagna, 68, took up the post of economy minister in April 2002.
    Source: Xinhua

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