china's strategy for yuan

Now we will try to better understand and study effectively economics lesson  about the export of China-exported from the country. It is no secret that their export strategy has been successful and able to promote their own economic growth, ready?.

China, the country has experienced very rapid progress because they are able to do a very good economic strategy. think about it when countries like Indonesia could they in terms of its economy?
even those already included in the BIRC.where it is a continuation of Brazil, India, Russia, and China. they predicted would be the most 4 giver effect countries in economy in 2050.
that's what was said by one of the major investment banks over the world.
when we think about why China is experiencing rapid economic growth?
one of the Chinese strategy to do that is to weaken their currency is Yuan but safely controlled. So that it could make Chinese exporters more excited because they can get more benefit. for example let's say that if for 1 dollar to pay 20 yuan. Production in countries exporting to China. they need the money 10 yuan to buy the factors of production. Then they sell their products in America with the price of 1 dollar = 20 Yuan. They automatically gain 10 yuan while a dollar in change. Imagine if for $ 1 must pay 50 Yuan. So when they get the revenue they can get $ 1 50 Yuan, that means they get the profits 50-10 = 40 Yuan. They also have small tax liabilities. But that has not been in reducing the impact of inflation if it happened. Therefore it can survive in anything like this is the large capital exporting but I heard the news that China has tried to slightly raise its currency, because they want the production in a larger city, is not every country would have imported. If the yuan is only that much so it can be difficult the importer. People are also confused the price of goods rises. Due to massive inflation (if it occurs). But I think it rarely happens in China, because they do pro-active economic policy. them in making decisions not only discussed but done well. so, it can encourage the growth of Chinese economy. For forex traders please be careful if you predict the yuan currency to rise sharply. maybe it was from me, please in love correction if there is something wrong ... thank you.

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