Dr Andy Xie considers that China should float it s currency in the long run. China is the biggest foreign investor in U.S. Treasuries. Its holdings reached a record $1.149 trillion in April, a Treasury Department report said in June. Being more independent, and not relying on another currency to provide the feeling of stability, should be the Chinese government plans for the long run.
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Dr Xie is one of the few economists who has accurately predicted economic bubbles including the 1997 Asian Financial Crisis and the more recent subprime meltdown in the United States. He joined Morgan Stanley in 1997 and was Managing Director and Head of the firm’s Asia/Pacific economics team until 2006. Prior to that he spent two years with Macquarie Bank in Singapore, where he was an associate director in corporate finance. He also spent five years as an economist with the World Bank.