Prof. Milind Rao
Department of Economics
Business School, HKUST |
In the past two decades there has arisen a powerful and symbiotic relationship between the US, China and Japan involving tremendous flows of capital and goods. It has been virtually unprecedented in terms of size and scope influencing among other things the trade balance, the exchange rate, the cost of capital and housing in the United States and China, and the impact of monetary policy.
In this lecture, we will systematically develop the framework for the US - CHINA - JAPAN nexus and explore its effects on exchange rates, the markets of money, bond and labor, and foreign direct investment. |