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7. Other important information China puts yuan Skeptics on Notice as Currency Nears Decade Low How do investors bet against a currency? What are investor

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7. Other important information China puts yuan Skeptics on Notice as Currency Nears Decade Low How do investors "bet against a currency"? What are investor expectations about the currency moving forward and how do they speculate on this belief? What is the difference between repatriation and expatriation of funds? Why would businesses and individuals want to expatriate capital in the current economic climate? Hovw 1. Chinese 2. uld this mass expatriation of capital influence the value of the yuan? hy would China make it more expensive for traders to place bets against the yuan? f the US dollar has rallied in 2018 against many currencies, what do you expect to have happened to the US trade balance over this period? 5. Compare the GDP growth of China to that of the U.s. Based on this information, what do you 6. Compare the monetary/ fiscal policy of the US and China. Based on this information, what do 7. Explain how a Chinese exporter who prices its goods in dollars and pays its costs in the home expect to happen to the exchange rate between the US dollar and Chinese yuan? you expect to happen to the exchange rate between the US dollar and Chinese yuan? currency is a better (or worse) position than a Chinese exporter who prices its goods in yuan and pays its costs in US dollars. The Chinese Central bank sold $17.4 billion of foreign exchange last month, is this direct or indirect intervention and what is the Central Bank hoping to accomplish? 8. 9. Other important information

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