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Entrepot trade and fixed exchange rate regimes: the United States-Hong Kong-China trade triangle

Tang, Kam-Ki


Since the outbreak of the currency crisis in Asia in 1998, the Hong Kong dollar has been under severe pressure. In the literature of monetary standards, trade is considered a major factor in determining the nominal anchor. The distinct trade structure of Hong Kong adds new aspects to the old topic of the choice of monetary standards. It raises the question of whether entrepot trade affects, and even changes, the choice of nominal anchors for small open economies under fixed exchange rate...[Show more]

CollectionsANU Research Publications
Date published: 1998
Type: Working/Technical Paper


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