By: William B. Brown
Chinese international finance may sound to many of you like a daunting subject. It really is not, but I have to admit it’s not quite intuitive. International finance is a lot like accounting; you have to learn the rules. And on top of that, in this case we have to add the never intuitive issue of Chinese policy-making. I didn’t learn anything about these topics in graduate school but rather in my first job as a CIA economist, over thirty years ago. At that time China published no economic data; it was just sort of a black hole in the world of data. My first assignment was to work with other economists and create an estimate of China’s balance of payments accounts using something of a mirror image approach.