Paper Title:
Impact of ECFA on Trend of Exchange Rate between NTD and RMB Based on Grey Prediction Model
  Abstract

Beginning from 2001 in which both Taiwan and China joined World Trade Organization (WTO), a large number of Taiwanese manufacturers have moved their plants across Taiwan Straight to China in search for cheaper labor force regardless of the political tensions between two countries. With the gradual easing of cross-strait political tension after the inauguration of pro-China president of Taiwan, the Taiwan Government starting from 2009 has been promoting the "Economic Cooperation Framework Agreement" (ECFA) through which the government claims the cross-strait economic and trade relations could be further enhanced and Taiwan could avoid being “marginalized” from the regional economic system. Additionally, as the two countries gradually lift restrictions on the investment and remove tariff barriers the cross-strait economic is bound to be more closely and the trade exchanges are set to skyrocket. However, since the bilateral trade or investment is generally through the U.S. dollar the fluctuation in currency exchange rate may serve as one of the important factors when the business makes the investment decision. Therefore, this paper applies Grey prediction method of Grey theory to the forecast of the exchange rate between NT dollar and RMB on which Taiwan enterprises could depend when formulating their investment strategies of investing more in China or Taiwan.

  Info
Periodical
Advanced Materials Research (Volumes 308-310)
Chapter
Design for Sustainablility
Edited by
Jian Gao
Pages
1788-1791
DOI
10.4028/www.scientific.net/AMR.308-310.1788
Citation
C. C. Tu, A. P. Chen, "Impact of ECFA on Trend of Exchange Rate between NTD and RMB Based on Grey Prediction Model", Advanced Materials Research, Vols. 308-310, pp. 1788-1791, 2011
Online since
August 2011
Export
Price
$32.00
Share

In order to see related information, you need to Login.

In order to see related information, you need to Login.

Authors: Wu Wei Li
Abstract:Based on the statistical data during the period from 2003 to 2008 released by National Bureau of Statistics of China, this paper aims to...
504
Authors: Ying Jiang, Qiu Wen Zhang
Abstract:The dam safety assessment is related with the national economy and the people’s livelihood all the world, so it is important and meaningful...
1690
Authors: Xiao Kun Miao, Ming Yang Li
Abstract:Road traffic accident forecast is a complex stochastic process. Based on the statistics of road traffic accident, Grey Model (1, 1)( short...
551
Authors: Zheng Yuan Jia, Zhi Wei Huang, Chun Mei Wang, Gang Zhang
Sustainable Power Policy and Management
Abstract:The grey control theory is used to predict electric power demand in this paper. Original data is processed by the Generation Method. Many...
752
Authors: Ye Fei, Jin Ning, Xing Kun Wang
Chapter 3: Iron and Steel
Abstract:This paper fusions advantages of the grey forecast, fuzzy control and the traditional PID control, puts forward the grey prediction fuzzy PID...
920