Forbes website: To revalue the renminbi is a false claim

According to the Xinhua news agency, Shawn Rey, general manager of China Market Research, published by the US Forbes website, said that the assertion that the US Nobel laureate, Paul Krugman, had demanded a revaluation of the renminbi would not only hurt the Chinese economy, but would also hurt American consumers and the global economic recovery.　　Riedenschneider's article argues that, first, a revaluation of the renminbi could inflate the price of "Made in China" products, which would reduce the purchasing power of American consumers, which would curb consumer spending and be detrimental to the US economic recovery in the current high US unemployment rate. Second, even a modest appreciation of the renminbi will have a knock-on effect on Chinese exports, which is bad for China's economy and not good for other countries ' economies. As far as the US is concerned, China's economic growth is weak and U.S. exports will be hit. Moreover, a revaluation of the renminbi cannot effectively reduce the U.S. trade deficit unless the US carries out structural economic reforms. Because even if the renminbi appreciates, production will only shift to cheaper countries, such as Vietnam, rather than back to the US.