ABSTRACT

China's 'Hot Money' Problems [July 21, 2008]   [open pdf - 71KB]

"China has experienced a sharp rise in the inflow of so-called 'hot money,' foreign capital entering the country supposedly seeking short-term profits, especially in 2008. Chinese estimates of the amount of 'hot money' in China vary from $500 billion to $1.75 trillion. The influx of 'hot money' is contributing to China's already existing problems with inflation. Efforts to reduce the inflationary effects of 'hot money' may accelerate the inflow, while actions to reduce the inflow of 'hot money' may threaten China's economic growth, as well as have negative consequences for the U.S. and global economy. This report will be updated as circumstances warrant."

Report Number:
CRS Report for Congress, RS22921
Author:
Publisher:
Date:
2008-07-21
Copyright:
Public Domain
Retrieved From:
Via E-mail
Format:
pdf
Media Type:
application/pdf
URL:
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