The Appreciation Of The Renminbi To Zhejiang Province Economic Growth The Empirical Analysis

In the world economy a ball, inte gratio n, liberalization tre nds, the worldvigorous ly promote the internationa l fina ncia l and economic polic ies, and theexchange rate regime as one of the country’s most important economic syste m, playsan important ro le in the fore ign economic deve lopment. Excessive appreciation o f theexchange rate will impact on the economic growth of a country or region. As China’sexchange rate reform, the RMB exc hange rate is appreciation. What the impact of theapprec iatio n of the RMB exc hange rate of econo mic growth in Zhejia ng Province?This artic le emp irica l ana lyses the impact of the appreciation o f the RMB to thecono mic growth o f Zhejia ng Province. Finally getting some research conclusion:(1) The RMB exc hange rate since the re form, the RMB exc hange rate first in the1985-1994years continuous ly depreciation, but fro m1994our country executes theRMB exchange rate and the system, the RMB aga inst the us dollar or hk excha nge ratehas rise, the appreciatio n of the renminbi pressure is more and more big, Residents inzhejia ng province consumer price index, co mmodity retail price index and industria lgoods ex-factory price index basic present a ris ing trend. In addition, zhejiangprovince total import and export trade, fore ign direct investme nt is expand ingconstantly, but both in regiona l and industry une ven d istribution, such as exportma inly labor-inte ns ive products, foreign direct investment ma inly flow to thetrad itiona l manufacturing.(2) Through the co-integratio n analys is and granger causality, pulse response,error correction a nd ana lys is found that the appreciation o f the renminb i and zhejiangprovince econo mic growth between the long-term co-integration re lations hip, and inthe lo ng run aga inst economic growth of zhejia ng province, and this kind of influencedegree gradua lly increase, but in the short term the appreciation o f the renminbi isbene fic ial to the economic growth of zhejiang province.(3) From the appreciation o f the renminbi to zhejia ng province economic growthmecha nis m to see: the apprec iatio n of the renminbi to zhejia ng province commodityprice le vel, foreign direct investment, import and export trade has significantinflue nce, and the n influe nce the economic growth of zhejiang province, and thespecific performa nce in the appreciatio n of the renminb i in zhejia ng province topromote the co mmodity price rise; The appreciation o f the renminb i to import and export trade of zhejiang province produces negative effect, and in1%of the leve lsignifica ntly; RMB real excha nge rate at1%of foreign d irect investment in zhejiangprovince have a ne gative impact, shows that the fore ign d irect investme nt in zhejiangprovince is ma inly cost ge nerated is given priority to, the apprec iatio n of the RMB toforeign direct investment enterprise of relative production cost rises, and thus reducecost generated foreign d irect investment.