Russia signs agreement to launch two South Korean satellites on Soyuz rocketScience & Space August 21, 13:33
Poll reveals Russians take pride in country’s symbolsSociety & Culture August 21, 13:15
Press review: Moscow works to cool off US-North Korea spat and Japan eyes peace treatyPress Review August 21, 13:00
Passenger ground effect vehicle seating 100 to be created in Russia in 2020-2022Military & Defense August 21, 12:35
Australian cyclist Perkins gets Russian passportSport August 21, 12:21
St. Petersburg buyer scoops up Yeltsin’s limousine for over $330,000Society & Culture August 21, 12:20
US suspends procedure of issuing nonimmigrant visas throughout Russia as of August 23World August 21, 11:59
Four victims of Surgut stabbing remain in grave conditionWorld August 21, 11:21
Russian Arctic National Park to set up reserve area on Novaya ZemlyaSociety & Culture August 21, 9:36
MOSCOW, May 15. /TASS/. Competition through the artificial undervaluation of the national currency equals price dumping, which does not stimulate growth of quality and production efficiency, as well as the welfare of the population, according to the analytical note of the Research and Forecasting Department of the Russian Central Bank.
According to the Central Bank, relying on this policy in the medium and long term would mean to participate in the race to lower wages with poor countries with an excess of cheap labor. The department’s experts believe that this would require an ever more severe understating of the real exchange rate and wages, low standards of consumption.
"In the modern world of global production chains, the exchange rate ceases to be a source of competitiveness for a growing number of goods. It is very rare if an industrial commodity is fully developed and produced in only one country. Competition in the modern world shifts to competition in quality, production effectiveness and image of goods. Attempts to compete only in terms of price will eventually lead to growth of technological gap," the regulator said.