Portfolio manager Axel Merk tells the WSJ China's dollar policy is an export subsidy
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Beijing fixes the yuan to the U.S. dollar, which allows China to keep its goods cheap on the global market. 'Many Chinese businesses have had an implicit export subsidy because of the yuan’s quasi-peg to the U.S. dollar,' notes Axel Merk, president and chief investment officer of Merk Investments. ..."