The Influence of Renminbi Internationalization on the Chinese Stock Market

DOI

10.2991/hss-17.2017.101How to use a DOI?

Keywords

RMB Internationalization, Stock Market, GARCH Model.

Abstract

Along with the growth of the Chinese economy, China is apt to have increasingly significant position in the global markets. It's always one key for China to win a pivotal position among nations by internationalizing the currency. Several acts during this process, including accepting the market-linked exchange rate and expanding pilot cities of cross-border yuan settlement, would have direct or indirect impacts on the domestic financial markets by all means. The measures on perfecting marketization like carrying out RQDII, RQFII, and Shanghai-Hong Kong Stock Connect policies have also powered the speed of RMB internationalization through capital market internationalization. In order to see the differences between strategies the government took in different phase, we probed those particular effects on the stock market by using GARCH models. The results indicate that the government and the public media play an essential role in China unlike any other countries.

Copyright

© 2017, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Yang-Chao Wang
AU  - Jui-Jung Tsai
AU  - Bing-Xin Zhou
PY  - 2017/02
DA  - 2017/02
TI  - The Influence of Renminbi Internationalization on the Chinese Stock Market
BT  - Proceedings of the 2017 2nd International Conference on Humanities and Social Science (HSS 2017)
PB  - Atlantis Press
SP  - 584
EP  - 589
SN  - 2352-5398
UR  - https://doi.org/10.2991/hss-17.2017.101
DO  - 10.2991/hss-17.2017.101
ID  - Wang2017/02
ER  -