The Research Between Exchange Rate And Consumer Based On The Dsge Model With Financial Accelerator

Since July2005the RMB exchange rate reform, the RMB exchange rate isrelaxation of controls. The RMB is under the pressure of appreciation, which resulted inthe international foreign trade surplus. The appreciation of RMB will have an adverseimpact on the country imports and exports. And the policies of our economic are turningfrom exports to expanding domestic demand to promoting economic growth. Consumerresearch is imperative factors related to household consumption. However, in terms ofproduction processes or to the consumer segments, both are inseparable fromparticipating financial factors. Known to all the RMB exchange rate is an importanteconomic indicator, studies the relationship between the consumer and the RMBexchange rate is very important.Traditional DSGE model enterprises to obtain funds from financial intermediariesare not required audit costs, and the financial accelerator theory suggests that companiesobtain funds from financial intermediaries there is also an external finance premium, inorder to fit the reality. The paper will construct two financial accelerator introducedState stochastic dynamic equilibrium model, giving a negative impact of exchange ratefluctuations and to research the changes in consumer.Firstly, the paper will establish a DSGE model with financial accelerator, whichconsisted of the household sector, firms and government departments. In order tointroduce financial accelerator effect, the wholesale goods producers start to lend frombanks. The Central Bank to drew up fiscal and monetary policies to regulate theeconomy. In this paper, the introduction of exchange rate shock factor sectorentrepreneurs to discuss the impact of exchange rate impact on the consumer, as well asby exploring the effects of exchange rate shocks on other macroeconomic variables, andthen come to the role of exchange rate shock pathway household consumption.