The unappreciated spillovers of China’s monetary policy
Identifying the transmission mechanisms of global shocks for better business-cycle management in developing countries
As the largest official lender to developing countries, understanding the mechanism of China’s monetary policy spillovers is of primary importance for developing countries. This research goes beyond the usual concerns of US monetary policy and analyses how business investments in other countries react to China’s monetary policy shocks. Equipped with greater knowledge of likely impact of global economic trends, future leaders of developing countries will be better able to cope with challenging domestic economic and financial situations.