Paul Krugman has an interesting perspective on an issue that may come up in tonight's presidential debate: U.S.-China trade relations, and the charge that the Chinese currency provides unfair advantage to its exporters.
Krugman argues that the renminbi has appreciated substantially over the past 5 years and that China's huge current account surplus has nearly disappeared. That suggests the currency is no longer substantially over-valued, especially considering domestic inflation in China.
However, politics does not run on facts but on perceptions. So it will be interesting to see how this plays out tonight.