Monetary Cooperation In East Asia And China's Strategy

After the financial crisis in 1997, the countries in Asia all realize the importance of the currency cooperation in Asia, and which will help to coordinate the monetary policy with each other and avoid the financial crisis. Although it is a general trend to take the monetary cooperation in East Asia, there still exist many practical difficulties and encumbrance factors.This paper will begin with the presentation of world monetary system, and then make introduction of the current regional monetary cooperation. I will focus to describe the monetary cooperation in East Asia. Based on the analysis of the necessity of the monetary cooperation in East Asia and the practical situation of the region, we hope to find out a suitable strategy for the monetary cooperation in East Asia. As the biggest developing country in Asia, China should take positive actions to devote into the monetary cooperation in East Asia, enhance the economic cooperation with other countries outside, consummate national economy and financial market inside, and play an important role that we should do in this regional cooperation.This thesis is divided into three parts.Part I: The meaning, importance of the monetary cooperation in East Asia will be mentioned. And the existing research in the world, the method and structure of this thesis will also be introduced. The part will give a general description for readers and the following content.Part II is the main text of the thesis and divided into 4 sections.Section one firstly reviews the international monetary system and gives comments on the regional monetary cooperation in East Asia. Based on these analyses, we could make clear of the developing direction of the monetary cooperation in East Asia and prepare for the following sections.Section two will analysis the theory meaning and practical difficulties of the monetary cooperation in East Asia.Section three will try to resolve some problems; point out some strategies to the monetary cooperation in East Asia. We should take three steps to get to the target following the principle of from lower to higher. It should begin with sub-area monetary cooperation and turn to the whole area step by step.Section four will point out that as a biggest developing country in Asia, China should take actively actions to face with the monetary cooperation in East Asia. We should take some measures internal and external to play an important role in East Asian monetary cooperation.Part III will make a summary of the whole thesis in order to give readers a general picture of the content. And the creation and shortage would also be indicated.