Thursday, July 30, 2026

Exchange Rates and Global Imbalances

Don’t blame global imbalances on the undervalued yuan
https://www.economist.com/by-invitation/2026/07/28/dont-blame-global-imbalances-on-the-undervalued-yuan
Demanding that China revalue the yuan gets both the diagnosis and the cure wrong, write Gita Gopinath, Pierre-Olivier Gourinchas and Hélène Rey.
 
What the Big Mac index reveals about a global currency beef
https://www.economist.com/interactive/leaders/2026/07/30/what-the-big-mac-index-reveals-about-a-global-currency-beef
It highlights economic problems—and helps explain how to solve them.
 
Related:
https://www.economist.com/interactive/briefing/2026/07/30/the-big-mac-index-at-40