Research On The Factors Of Market Provider For Yen Internationalization

In recent years,as the most powerful economy in East Asia,China has provided a vast consumer market for product exports in East Asia.China has gradually raised its position as a market provider in East Asia,and their dependence on China has also been increasing.In East Asia,more and more countries have chosen to use RMB for settlement in foreign trade,thus the process of RMB regionalization has continued to accelerate.So in the case of which China's market share of products has been increasing,can RMB complete the international strategy through the regionalization? The answer is yes.Taking Japan as an example,this paper analyzes the influence of Japan's foreign market provider position on the internationalization of the yen including settlement currency function,investment currency function and reserve currency function.First,the article describes the market provider position of Japan from the perspective of primary goods,processed goods,final capital goods and final consumer goods.Secondly,according to the analysis of the course of the internationalization of the yen,the article gets some reasons for the failure of the internationalization of the yen,and also analyzes the possible internal relations between the foreign market provider position of Japan and the internationalization of the yen.And then this paper uses GMM empirical analysis to demonstrate the relationship between Japan's position as a foreign market provider and the yen currency function internationalization.At last,according to the analysis of the earlier sections,the article provides some strategies for the development of RMB internationalization from the perspective of market providers.The research shows that for different products,the role of Japan's foreign market provider in the internationalization of the yen is not the same.I n general,the improvement of this position can promote the internationalization of the yen through settlement currency.In particular,the enhancement of providers position in final consumer goods market has a significant role in promoting the settlement currency function and reserve currency function.Thus in the future,China should develop the final consumer goods market vigorously and realize the internationalization of RMB under the premise of economic development and the sound financial system.