Study On The Selection Of "Anchor Currency" In East Asia Sub-regional Monetary Cooperation

Reflect on the phenomenon of the financial crisis, the role models for the establishment of the European Monetary Union and the euro prompted some East Asian countries are discussing the possibility of regional monetary cooperation in East Asia as well as the establishment of the Asian monetary union, countries also made to achieve economic integration in East Asiaefforts. Although East Asia as a whole does not have the conditions to establish optimal currency area, but because of the contradictions of some countries and regions in the East Asian region more relaxed, more in line with economic indicators optimal currency area criteria, so the times between the East Asian economies regional monetary cooperation is feasible. Monetary integration in East Asia can be considered progressive way to go step by step, first establish a Chinese currency area, Japan and South Korea currency area and the ASEAN currency area three sub-regional currency areas, and then gradually extended to the outlying areas, the final transition to the entire East Asian region.In this paper, the three East Asian subregion as the research object, the comprehensive utilization of theoretical analysis and empirical analysis method of combining research "anchor currency" choice in the sub-regional monetary cooperation in East Asia. Specifically, this article first combination of East Asia to select multiple Monetary Union because of the way the background of the sub-regional monetary cooperation in East Asia, and then introduced the progress of the sub-regional monetary cooperation in East Asia. Then the theoretical analysis of the choice of the anchor currency in East Asia sub-regional monetary cooperation. Which first introduced the relevant theoretical knowledge of regional monetary cooperation "anchor currency" selected, then the sub-regional cooperation in East Asia "anchor currency" in the choice of issues to do theoretical analysis, and finally through empirical inquiry East Asia sub-regional monetary cooperation in the anchor currency choice-is based on the analysis of the choice of anchor currency "in the ASEAN sub-regional monetary cooperation. Data to2005-2013, the Philippines, Malaysia, Indonesia, Brunei, Vietnam, Laos, Cambodia, Myanmar eight ASEAN countries as a sample, USD, JPY, CNY, SGD and THB as the explanatory variable regression analysis, examine the the ASEAN currency peg against other major currencies, from an empirical point of view, the empirical results indicates that the CNY has become the the hidden anchor currency of sovereign currency exchange rate changes. Finally, based on the above discussion, draw on the conclusion of the sub-regional monetary cooperation in East Asia and the anchor currency selection and gives relevant policy recommendations.