Stronger Yuan Not Way to Tame Inflation, Mundell Says
This article is for subscribers only.
Strengthening the yuan to tame inflation in China is “not necessarily a good recommendation,” said Robert Mundell, the Nobel-prize winning economist.
“One of the important forces of stability over the past decade has been the comparative stability of the yuan against the dollar, and that’s been a stabilizing force in all of Asia,” Mundell, who is a Columbia University professor, said in an interview with Bloomberg Television in Hong Kong today. “It’s always much better for China to keep the currency stable.”