Monetary Integration Of The Four-regions Of China Across The Straits

This thesis put forward the idea of monetary integration in four-region of China across the straits from the aspects of international financial crisis of 2008, RMB internationalization, the demonstration effect of successful EURO, the difficulties of East Asian monetary cooperation and the situation of "one country, four dollars"in Chinese district. Then the thesis summarized the theoretical literature of monetary integration and extracted two kinds of test methods for monetary integration. The first one is feasibility-test of monetary integration, including qualitative analysis of cost-benefit and quantitative test of correlation of economic shocks. The other one is test for the fusion extent of trade market, investment market and finance market among the four-region of China across the straits to get the timing.The result showed that there were more benefits of monetary integration than cost among the four-region of China across the straits, especially between the mainland and Hong Kong. And there was high market fusion extent and high correlation of economic shocks between the Mainland, Hong Kong and Macau. After summing up the economic factors, we can premeditate the monetary integration among RMB, Hong Kong dollar and Pataca. On the other hand, the result of test for the Mainland and Taiwan was not ideal, but setting free trade agreement between the two is also urgent. At last, the thesis designed the mode of monetary integration for the four-regions of China across the straits referring to that of the European Union.