The Study On The RMB Exchange Rate System

Under the background of international economic and financial liberalization, integration and globalization, China joins WTO and participates the international economic circulation more actively. In this course, the comparative interests that our country can obtain and the financial globalization risk that we may suffer grow together. Therefore, as the core of the foreign economic connection system, RMB exchange rate system is undoubtedly the subject of great value and importance, thus becomes the research target of this thesis.As the comprehensive statement of the full text, Chapter Ⅰ explains the background and meaning of the selected subject; introduces the current international and domestic study in this field, make a brief comment on it; and summarizes this text's research thread, frame, methods and main points.The theory and practice of exchange rate system arrangement are the main contents of Chapter Ⅱ, including the two respects of exchange rate system and exchange rate system selection. In the first respect, this paper introduces the classification criteria and categories of exchange rate system, and the characteristics of each kind. Then present the debate on the advantage and disadvantage of fixed and floating exchange rate system after Bretton WoodsSystem collapsed. Later review the development history of international exchange rate system, repeated from fixed to floating several times; and the diversified exchange rate systems in the nowaday world. In the second respect, first generally introduce the mainstream theory of exchange rate system choice and the weighing frames put forward from other angles by economists, and do concise evaluation and analysis. Subsequently, choose typical instances of developing countries' exchange rate system selection and draw their experience and lessons for reference.Chapter III retrospects the history of RMB exchange rate system and analyzes the present RMB exchange rate system. In the first part of this chapter, according to the change of time, divide the RMB exchange rate system history into 5 periods: 1949-1952,1953-1972,1973-1980,1981-1984 and 1985-1993; and through the three steps of background, situation and appraisal, review the RMB exchange rate system history. Concerning the current situation of RMB exchange rate system, begin from the background and reasons of 1994 RMB exchange rate system reform, follow with 1994-2000 RMB exchange rate system reform and the contents, frame, characteristic and mature of the current RMB exchange rate system, and end in the comment on the current RMB exchange rate system that it accords with China's actual conditions while exists problems meantime.Chapter IV probes the arrangement of RMB exchange rate system in short and medium-long term, according to the factors influencing RMB exchange rate system selection. At first, introduce and analyze different views on RMB exchange rate system choice of Japanese, American and domestic scholars. Next, analyze the macro- & micro- factors influencing RMB exchange rate system selection in an all-round way, including economic system, RMB exchange rate level, China's monetary policy, Hong Kong currency board arrangement and the game among interest groups. Then considering thereality of our country, hold that the present RMB exchange rate system is comparatively reasonable during the process of progressive opening in finance but needs adjustment and perfection meanwhile. At last, analyze the direction of medium and long-term RMB exchange rate system choice; think it is a rational choice to totally open RMB capital item, finally realize RMB free conversion, and perform elastic floating exchange rate system; and correspondingly propose the policies and measures that should be taken during the process to realize the smooth transition to the medium-long term target exchange rate system: l. Choose suitable opportunity to open capital item; 2. In initial stage of capital item opening, Central Bank should manage the exchange rate with market-based means; 3. Strengthen the construction of derivative foreign currency market to provide enterprises financial tools to avoid the exchange risk.