Is Adding the Yuan to the SDR Basket a Big Deal?

Former Fed Vice Chairman Alan Binder gives his take on the news that the IMF will likely add the yuan to the SDR currency basket in this recent interview.  Below is a summary of the interview.

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Is IMF Adding China Yuan to Reserves Basket a Big Deal?

by Bloomberg Video 

Oct. 23 -- IMF representatives have told China that the yuan is likely to join the fund’s basket of reserve currencies soon, according to Chinese officials with knowledge of the matter, a move that may make more countries comfortable using the unit or including it in their foreign-exchange holdings. Former federal Reserve Vice Chairman Alan Blinder also discusses Fed policy on "Bloomberg Markets."