principles of the exchange rate and money around the world?
June 23rd, 2010 | by mon-ex |
tomorrow never dies asked:
I am new in china. people is talking about the RMB currency and its exchange rate against the USD. people say it is good for the native citizens and bad for forieners. May anyone give more related information . I do not understand.
HILARY
I am new in china. people is talking about the RMB currency and its exchange rate against the USD. people say it is good for the native citizens and bad for forieners. May anyone give more related information . I do not understand.
HILARY
One Response to “principles of the exchange rate and money around the world?”
By laduron7 on Jun 25, 2010 | Reply
It means that the same products within China’s borders cost more than they do outside of China. The people in China who are paid in RMB (the yuan) don’t notice the difference. It’s good for native citizens because their currency has more buying power. And it’s bad for foreigners because, if they are being paid in their foreign currency, their money has less buying power.