Sal reviews the hypothetical currency balance between China and the US under an ideal market scenario, then explains the Chinese government's motivations (both optimistic and more cynical) to prevent the Yuan from appreciating and intentionally misbalancing trade, thereby maintaining export-led growth. How can this be done? Sal introduces the Chinese Central Bank's response to a scarcity of Yuan: printing more Yuan and exchanging it for dollars to keep the Yuan devalued. This concept leads learners into a discussion about what the Chinese government does with accumulated dollars and the effect on the US economy.