Currency Chaos
The controversy over China’s exchange-rate policy has morphed into a global macroeconomic clash between advanced and emerging countries, owing to a lack of global coordination. This suggests that the solution to currency wars is not to declare a truce, but to recognize the nature of the issue and overcome the problems that block an adjustment that is in everyone's interest.
https://prosyn.org/k5b6Aa0
BRUSSELS – Guido Mantega, Brazil’s finance minister, aptly captured the current monetary Zeitgeist when he spoke of a looming “currency war.” What had seemed a bilateral dispute between the United States and China over the renminbi’s exchange rate has mutated into a general controversy over capital flows and currencies.