Undervalued
in sentence
93 examples of Undervalued in a sentence
In recent years, Japan, South Korea, and China have manipulated their currencies to keep them
undervalued.
These were adopted not only with America’s assent, but at its insistence, at a time (the mid-2000s) when China’s renminbi was greatly undervalued, contributing to the loss of millions of US manufacturing jobs.
The impact of biodiversity is often insufficiently understood, which means that we have
undervalued
its contribution to tackling global challenges.
Long-term educational and employment needs have historically been
undervalued
in humanitarian planning.
(One example: positive news is dramatically
undervalued
in today’s media environment.)
This downward trend will likely continue, even though the euro is already
undervalued.
At that price, the dollar was
undervalued
by roughly 10% relative to its purchasing power parity (PPP).
This price advantage is often due to exchange rates in places like China and Japan, whose currencies are
undervalued
by between 25% and 40%, which often offsets US efficiency advantages.
Never mind that the Chinese renminbi has risen some 33% against the US dollar since mid-1995 to a level that the International Monetary Fund no longer considers undervalued, or that China’s current-account surplus has shrunk from 10% of GDP in 2007 to an estimated 2% in 2014.
Given China’s massive current account surplus (12% of GDP), the renminbi is still
undervalued.
First, Germany is currently
undervalued
and would benefit from a limited appreciation via the terms-of-trade effect.
Working-class white women in America have had their talents exploited and
undervalued
for as long as the nation has functioned.
Japanese companies are generating strong profits (Japanese stocks may even be undervalued).
which implies that the pound is now
undervalued
– by anywhere from 14% to 24% against the dollar, and by as much as 20% against the euro – relative to its notional fair value.
But let us assume that these estimates are at least roughly accurate, and that the pound is now broadly
undervalued
relative to the currencies of its major trading partners.
The IMF conceded as much in its latest in-depth review of the Chinese economy, which calls the renminbi “moderately undervalued” by 5-10%.
Meanwhile, Argentina's neighbor and Mercosur trading partner, Brazil, saw its currency depreciate - some say that it became significantly
undervalued.
Moreover, policies aimed at stabilizing the exchange rate and keeping interest rates low have caused capital and risk to become
undervalued
in large projects.
Convinced that the euro was undervalued, several central banks intervened in foreign exchange markets over the past two years to support it.
In contrast, Fed interventions were much more likely when the dollar was
undervalued
than when it was overvalued.
By keeping its currency
undervalued
and flooding world markets with artificially cheap goods, China pursues a predatory trade policy.
Japan kept the yen
undervalued
and erected hidden barriers to foreign goods, precipitating strong pressure – and periodic arm-twisting – by the US for Japanese concessions.
But, in order to explain performance relative to Japan and Germany, one would have to argue that the euro and the yen have been undervalued, which makes no sense.
An appreciation of 25% – roughly the extent by which the renminbi currently is
undervalued
– would reduce China’s growth by somewhat more than two percentage points.
The sheer magnitude of the Enlightenment’s achievements tends to be undervalued, because we are prone to remembering and normalizing catastrophes rather than quotidian improvements.
By contrast, wholesale restrictions on short-selling (and other such measures that pay no regard to whether an asset is over- or undervalued) – an option that some have suggested – could actually lead to greater instability.
China qualifies in one important respect: the renminbi was substantially
undervalued
by most measures from 2004 to 2009 (less so now).
So it is nonsense to declare that China’s currency is currently
undervalued.
We have also addressed those policies that have caused the most harm to the system in recent years, including overvalued or
undervalued
exchange rate pegs maintained for domestic reasons.
Likewise, the deficit countries’ exchange rates are overvalued relative to third countries like the United States and Japan, while Germany’s currency is undervalued, because the euro’s exchange rate is determined by the balance of payments of the eurozone as a whole, which Germany’s massive surplus distorts.
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