4 thoughts on “Why does the renminbi depreciate sharply? How can the depreciation of the renminbi affect our lives?”
Jaime
There are several reasons for the depreciation of the renminbi. The first is the reduction of trade demand, and the other is the reduction of investment demand. If the renminbi continues to depreciate, it will have the following impacts. The first aspect is the cost of going abroad. The cost of going abroad is directly linked to the value of the renminbi. If the RMB depreciates, the cost of our abroad will directly become higher. If the RMB appreciates, the cost of going abroad will become lower. The depreciation of the renminbi means that the country’s economic status in the society is not so strong. If we want to go abroad, then travel agencies and units and other units will charge a relatively high service fee from various kinds of remarks. From this perspective, it is perspective. The cost of going abroad will definitely increase. The second aspect is that the items purchased overseas will increase the price. If you want to buy a product from a foreign country, the price is relatively higher than before, because the RMB depreciates and the goods have not depreciated, so we can only spend more money to achieve the value of that product, which means that this means In order to buy things from overseas, items will definitely increase their prices, which is equivalent to increasing our cost of living. However, not everyone will buy things from overseas. If the living conditions are not allowed, you can buy things from our own country. After all, we can also be self -sufficient. The third aspect is that house prices will become relatively low. Because the renminbi is depreciated, if the house price is still so high, then most people cannot afford it, so house prices will continue to decline. This is also to increase sales and reduce the burden of people's lives. Nowadays, housing prices in many cities are slowly decreasing. Despite this, there are still many houses that cannot be sold. The housing market has experienced a great blow. This situation should be obvious to all. This is the direct impact caused by the devaluation of the renminbi.
In general, the continuous depreciation of the renminbi is not a good thing. What do you think about this?
The depreciation of the renminbi has a great impact on the lives and trade of domestic residents. Due to the depreciation of the RMB when traveling abroad, it is necessary to buy these famous names to buy.
The depreciation of the renminbi is related to the current environment of life, and it has a direct impact on domestic and foreign countries. After the depreciation of the renminbi, our living costs will definitely increase, and the same thing will pay more money.
The impact of the epidemic has begun to slow down. Treating the decline in the valuation of the local currency assets, which led to weakened financial and real estate related sectors, and dragging the overall market.
There are several reasons for the depreciation of the renminbi. The first is the reduction of trade demand, and the other is the reduction of investment demand. If the renminbi continues to depreciate, it will have the following impacts.
The first aspect is the cost of going abroad. The cost of going abroad is directly linked to the value of the renminbi. If the RMB depreciates, the cost of our abroad will directly become higher. If the RMB appreciates, the cost of going abroad will become lower. The depreciation of the renminbi means that the country’s economic status in the society is not so strong. If we want to go abroad, then travel agencies and units and other units will charge a relatively high service fee from various kinds of remarks. From this perspective, it is perspective. The cost of going abroad will definitely increase.
The second aspect is that the items purchased overseas will increase the price. If you want to buy a product from a foreign country, the price is relatively higher than before, because the RMB depreciates and the goods have not depreciated, so we can only spend more money to achieve the value of that product, which means that this means In order to buy things from overseas, items will definitely increase their prices, which is equivalent to increasing our cost of living. However, not everyone will buy things from overseas. If the living conditions are not allowed, you can buy things from our own country. After all, we can also be self -sufficient.
The third aspect is that house prices will become relatively low. Because the renminbi is depreciated, if the house price is still so high, then most people cannot afford it, so house prices will continue to decline. This is also to increase sales and reduce the burden of people's lives. Nowadays, housing prices in many cities are slowly decreasing. Despite this, there are still many houses that cannot be sold. The housing market has experienced a great blow. This situation should be obvious to all. This is the direct impact caused by the devaluation of the renminbi.
In general, the continuous depreciation of the renminbi is not a good thing. What do you think about this?
The depreciation of the renminbi has a great impact on the lives and trade of domestic residents. Due to the depreciation of the RMB when traveling abroad, it is necessary to buy these famous names to buy.
The depreciation of the renminbi is related to the current environment of life, and it has a direct impact on domestic and foreign countries. After the depreciation of the renminbi, our living costs will definitely increase, and the same thing will pay more money.
The impact of the epidemic has begun to slow down. Treating the decline in the valuation of the local currency assets, which led to weakened financial and real estate related sectors, and dragging the overall market.