The bad side:
Our money has increased in value, so we can buy more things from foreigners-for example, we used to buy a fried dough stick imported from the United States for 1 yuan, but now RMB is valuable, and we can buy it for 50 cents.
On the other hand, our country has more foreign capital and less domestic capital. Still selling fried dough sticks, it used to cost 5 yuan to open a fried dough sticks shop in the United States, but now it costs 4 yuan, so we all went to the United States to open fried dough sticks shops. This is bad for our country.
Also, if our money is valuable, it means that foreigners' money is worthless. Therefore, our fried dough sticks are more expensive for them, which is not good for our enterprise.
On the bright side:
Our money is valuable, we can buy more fried dough sticks, so our living standard has improved; As for the relief of China's foreign debt pressure and the rise of its economic status, this is also inevitable.
There are good and bad. But now it seems that everyone is emphasizing the negative side.
The risk of RMB appreciation is very high. It has brought about a series of changes.
Will prices go up? The price is determined by the socially necessary labor time and influenced by the relationship between supply and demand. As for how much it has to do with the appreciation of RMB, the price of RMB will definitely fall, because the price of imported goods will fall. But it can't be reflected in a day or two, and it's hard to say whether it can be reflected in the end-for example, WTO, as we said before joining the WTO, doesn't seem to have changed much after joining the WTO. China's "fried frozen fish" always has its own characteristics.