https://padlet.com/ichew/bbb4ma_chinafloat Is the situation in China any different from Egypt? Please explain using the information from the article. en-us 2016-11-28 05:28:58 UTC 2024-04-15 06:45:10 UTC hello@padlet.com https://padlet-assets.s3.amazonaws.com/icons/Balance.png ichew https://padlet.com/ichew/bbb4ma_chinafloat/wish/140086667 Read the Article to answer the question on top of the page.]]> 2016-11-28 05:34:37 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140086667 habiba_allam6464 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439206 If China decided to float its currency there will be a lot of pros and cons. The pros would be helping the US exports and it promotes new types of investment in China, but the cons are that the Chinese exports are hurt also, the float softens China's demand for US treasuries. So, regardless if they decide to float the Yuan or not there will always be pros and cons. Yet, the dollar will remain high. Egypt is facing the same problem. ]]> 2016-11-29 09:59:20 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439206 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439216 Regardless of whether China decides to float its currency or not, its power comes from exports to America. Its the complete opposite of Egypt's situation, since Egypt lacks the resources to be able to produce,and export products. China is floating their currency to make more profit because their currency's value doesnt match the amount it should so they feel that they are being taken advantage of. Egypt is floating to keep the economy stable.]]> 2016-11-29 09:59:22 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439216 moradbaasha https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439422 Transcript :
Since China have a large demand for their products and a low demand for imports so their currency's value won't drop as bad as Egypts situation . Egypt had pegged its currency to the dollar to help people importing but China had pegged its currency to the dollar in order to encourage exports. Now Egypts pound is worth its real value(less than what was prgged as) and if China floats its currency the value will go up to its true value making manufacturing and exports not as big as they used to be

]]> 2016-11-29 10:00:31 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439422 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439838 Floatation depends on the demand, therefor since china keeps demanding the floatation will remain high. Much like Egypt we have a high demand therefor while floating the dollar will remain high. Although situations may seem the same they very different due to China being a major world exporter, they have a source of income. ]]> 2016-11-29 10:02:44 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439838 eric_banoub https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439947 The chinese economy is stronger than egypt  so it wont be the same result because the chinese market is bigger than the egyptian market.

]]> 2016-11-29 10:03:18 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140439947 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440073 Just like Egypt if there wasn't any demand the prices wouldnt get floated by china if there wasnt any demand. For example the dollar if we didnt need it it wouldnt be floated, thats why the dollar will remain expensive. Low incomes and high demand work against eachother, and arent helping the floation get better. ]]> 2016-11-29 10:04:07 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440073 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440231 Egypt is not always in power of demand, since that we do not produce what the world wants, China on the other hand is always ]]> 2016-11-29 10:05:06 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440231 eric_banoub https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440391 Yes the situation in china is different because there are higher demands on chinese exports therefore its currency value wont be as low as  egypt. Egypt lacks the resources and services china  has to offer. Also, if the yuan increases in value, chinese production will be reduced and that will harm its economy which 25% of it  depends on manufacturing ]]> 2016-11-29 10:06:17 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440391 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440450 The situations are completely distinct, since Egypt exports way less than China. Many countries are reliant on China's exports; they're the top exporters of the world. If they decide to float their currency, the outcomes would not be as bad as Egypt's. Floatation of the yuan currency might have more benefits to China, compared to the Egyptian pound. The yuan's value will increase to it's real value, while on the other hand, the EG pound will decrease to it's true value]]> 2016-11-29 10:06:37 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440450 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440782 The devaluation of their currency wouldn't be as bad as Egypt because Egypt has a very low demand for Egyptian products and high demand for imported products, unlike china who have a high demand for Chinese products and low demand for imported products]]> 2016-11-29 10:08:51 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440782 habiba_allam6464 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440904 China is a very a big industrial power, the biggest in the world. the demand for Chinese production is and always going to be very high. Countries want to have the Chinese products in their country. Egypt on the other hand does not have products that other countries would buy progressively, therefore, China would never have the same situation present in it.
 ]]> 2016-11-29 10:09:39 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140440904 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441085 In China they export a lot and make money more than Egypt. The Chinese yuan is weak because countries import products from China. In 1994 the Chinese Yuan went up and to this day the Egyptian pound went up. For example when Egypt imports the money goes one way to USA and the EU. This causes the Egyptian pound to goes down. In China the currency goes up due to the exports. They money goes back to them because everyone's going to want the Chinese currency.]]> 2016-11-29 10:10:51 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441085 jannahpotter https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441233 the chinese economy depends on people importing their products because their yuan is weak so countries import a lot of products from china because of that. if the chinese decided to give in to western pressure to float their currency it will eventually rise and major importers of chinese products wont be importing as much. egypt on the other hand had their currency reach its real value when they floated (it decreased). if the chinese float the yen will increase and reach its real value while the LE will decrease and reach its real value. ]]> 2016-11-29 10:11:37 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441233 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441384 If China floats the Chinese yuan it will effect Chinese investors and business men trading with foreign countries. The country could live on its own, because it is the biggest exporter in the world. However it will make the currency worth less lowering the profit, which is good for other countries, but bad for China. ]]> 2016-11-29 10:12:38 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441384 chrissaleh15 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441415 China's situation is very distinct than that of Egypts. Unlike Egypt, China is floating its currency to its advantage. China relies on Exporting products. Chinese products are everywhere. When looking at Egypt, no one wants their products. So pegging the Egyptian pound to cost more than it should really screwed everything up as it has no demand ]]> 2016-11-29 10:12:48 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140441415 lina_amr99 https://padlet.com/ichew/bbb4ma_chinafloat/wish/140442321 The difference between China AND Egypt is that the devaluation of the was one of the key conditions by the International Fund in order for Egyptian to obtain the $12 billion. As a result, the Egyptian central bank floated the pound to aid stabilize the economy, which has been undermined by a shortage of dollars. Meanwhile, China was not forced to change its currency, rather, they did it by free-will. Afterwards, in Egypt, inflation, social and economic instability were an effect of the decision. So, when this happened, nothing was impacted because no one really cares about Egyptian pound. When this happened, nothing changed because thats whats been going on in Egypt and expected since 2011. However, China, is a huge global market and trader and will likely have a vastly change on the global economy. The move of devaluing the Yuan will have a huge effect on financial markets worldwide as China is the worlds biggest and largest trader and a lot of people depend on the Yuan, which is the contrast of the pound. China did this to make the Yuan more in line in the domestic market so its a fully studied move as a weaker current will help Chinas exporters sell their goods anywhere, globally. Unfortunately, it puts the countries who trade with China at risk and its an enormous disadvantage for them and will put pressure on other banks, markets, and businesses. Lastly, this cause will officially cause a global economic recession because China is a game-changer, one of the largest economies, biggest markets, and the biggest traders and exporters. Unlike Egypt obviously. Egypt isnt as big as China but hopefully one day will be so it can leave global impacts everywhere]]> 2016-11-29 10:18:36 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140442321 bodzillatv https://padlet.com/ichew/bbb4ma_chinafloat/wish/140444840 The current situation here is similar to the one that's happening in China, the Yuan is currently floating around the U.S dollar, parallel to how the Egyptian pound is floating right now, the Egyptian pound and Yuan rely heavily on the U.S Dollar which is a big factor when it comes to China and Egypt's economy]]> 2016-11-29 10:33:28 UTC https://padlet.com/ichew/bbb4ma_chinafloat/wish/140444840