Research Article
A New Cost-Profit Model for Measuring the Optimal Scale of China’s Foreign Exchange Reserve
Table 1
Fluctuations of US dollar exchange rate.
| | | USD index against major currencies | Devalued rate of USD to major currencies | Exchange rate against RMB | Devalued rate of USD to RMB |
| | 1999 | 94.06 | — | 8.28 | — | | 2000 | 98.34 | — | 8.28 | — | | 2001 | 104.26 | — | 8.28 | — | | 2002 | 106 | — | 8.28 | — | | 2003 | 93 | 0.12 | 8.28 | — | | 2004 | 85.37 | 0.08 | 8.28 | — | | 2005 | 83.71 | 0.02 | 8.19 | 0.01 | | 2006 | 82.46 | 0.01 | 7.97 | 0.03 | | 2007 | 77.84 | 0.06 | 7.61 | 0.05 | | 2008 | | | 6.95 | 0.08 |
| | Mean | | 0.06 | | 0.04 |
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Source: statistical data, the United States Federal Reserve; WDI, excerpted from 2008-2009 Yearbook of World Economy published in China.
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