Speaker: Dr. Tomoo Kikuchi

Authors: Tomoo Kikuchi, Lien Thi Quynh Pham、

Title: Networks and Choice of Currencies

Schedule: May 20, Mon 10:00-11:30 AM

Location: 诚明楼（Chengming Hall） RM 315

Introduction: Tomoo Kikuchi 现为早稻田大学亚太研究研究生院的教授，同时也是南洋理工大学S. Rajaratnam 国际研究学院的兼职高级研究员。他的研究兴趣集中宏观经济学和国际金融，并在国际知名期刊 Journal of Economic Theory, Theoretical Economics，Journal of Money, Credit and Banking, 以及Macroeconomic Dynamics 等期刊发表多篇文章。他还担任期刊 Journal of Asian Economics以及Malaysian Journal of Economics 的副编辑，并编辑过许多关于亚洲贸易、金融和投资的书籍和期刊专题。

Abstract: We build a game-theoretical model to analyze the strategic competition between two providers of global currencies. The providers sequentially decide the effort level to facilitate the usage of their currencies, while users - interconnected in a network - determine the usage of each currency to settle their trade. Theoretical findings highlight the advantage held by the status-quo power to maintain a dominant global currency and the impact of network structures on the behavior of users and providers. Simulation results shed light on why the usage of RMB is still limited although China has become dominant in international trade.