China's export boom based on productivity says economist

China''s version of deflation explains her export boom, rather than an unfairly cheap currency, says independent economist Chi Lo.

Hong Kong based economist Chi Lo argues that while China is benefiting from 'benign' deflation on the back of the productivity growth boosting exports, this may be adding to the 'malign' deflation of some of its neighbours, still suffering from the legacy of previous overcapacity.

Recently, the Japanese have been crying foul with regard to China's currency, arguing that the Yuan is undervalued and thereby providing the country with an unfair export advantage. What's your view

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