2.198 During the financial crisis, the currencies of Southeast Asian and East Asian countries generally plummeted. If the RMB also falls, it will ensure the stability of China's exports in the short term, but it will aggravate the domestic economic recovery of other countries, and will also lead to the decline of RMB credit and induce domestic inflation. On the other hand, since China had sufficient foreign exchange reserves at that time, there was no need to devalue it to ensure international income balance.
3. The current economic situation in China is completely different from that in 1998. At that time, China was only a regional economic power, but now China is a world economic power with world influence, second only to Japan, the world's third largest economic power, the world's largest exporter, the country with the largest foreign exchange reserves, and the largest creditor of US Treasury bonds. Obviously, compared with 10 years ago, China's economic strength is obviously enhanced, and China is fully capable of ensuring the stability of its currency. The pressure of RMB appreciation mainly comes from the United States, because there is a huge trade surplus between China and the United States. Therefore, the United States requires RMB appreciation only for its own interests, with the aim of cracking down on China's exports to the United States and passing on its economic difficulties, which is the same as 1980' s request for yen appreciation. In fact, this is just wishful thinking of the United States, because the current situation in China is not quite the same as that in Japan, and China's products have little influence on related products in the United States, because China mainly produces low-end products, which is completely different from Japan. For its own interests, China will never easily accommodate the demands of the United States.