Suppose that the following two events take place in the market for China's currency, the yuan: U.S.

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Suppose that the following two events take place in the market for China's currency, the yuan: U.S. parents are more willing than before to buy action figures and other Chinese toy exports, and China's government tightens restrictions on the amount of U.S. dollar-denominated financial assets that Chinese residents may legally purchase. What happens to the dollar price of the yuan? Does the yuan appreciate or depreciate relative to the dollar?
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Economics Today

ISBN: 978-0132554619

16th edition

Authors: Roger LeRoy Miller

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