Global trade imbalance against China as well as East Asia is an outcome of 'globally integrated business strategy of multinational corporations, ' which has led to the development of production networks in East Asia. As an outcome, economic interdependency in East Asia has grown even stronger in relation to its rapid economic growth. It has also been associated with increasing factor mobility and business cycle synchronization across countries within the region. This led me to conjecture that East Asia was an optimum currency area. Nevertheless, the countries have independent national...