www射-国产免费一级-欧美福利-亚洲成人福利-成人一区在线观看-亚州成人

USEUROPEAFRICAASIA 中文雙語Fran?ais
Business
Home / Business / Macro

Economists puzzled by state of economy

By CHEN JIA | China Daily | Updated: 2013-06-17 02:49

Economists puzzled by state of economy

Quantitative easing is an unconventional monetary policy used by a country‘s central bank to stimulate its economy when standard monetary policy has become ineffective. The world‘s first and third most powerful economies — the United States and Japan — are implementing QE policy but a senior Chinese economist warns that excessive money supply is like "a tiger in a cage". "Once it is released, the consequences will be severe," he said. [Provided to China Daily ]

Policy makers hesitant about next step as money supply increases a lot

A faster-than-expected increase in money supply and soaring bank credit but modest economic growth is an equation that has left Chinese monetary policy makers puzzled and hesitant about their next step.

Any impulse to ease or tighten monetary policy at the moment may lead to irretrievably awful results as economists reveal their helplessness.

Robert E. Hall and David H. Papell wrote in their book Macroeconomics — Economic Growth, Fluctuations and Policy — that "unsound monetary policy is the chief culprit" leading to serious recession and inflation.

By the end of April, the broad money supply, or so-called M2, had exceeded 103.3 trillion yuan ($17 trillion), up by 16.1 percent from a year earlier, compared with a year-on-year growth of 15.7 percent in March, according to the central bank.

But the year‘s target for money supply increase was anchored at 13 percent, which requires an average lower-than-12 percent M2 growth rate in the final eight months of this year, meaning there will have to be relatively tightened monetary policy.

Up to the end of 2012, M2 in China was close to double the total value of the gross domestic product, higher than a world-recognized warning line of 1.5 for the M2/GDP ratio. In comparison, that ratio was only 0.32 in 1978.

Cheng Siwei, a renowned scholar in economic, financial and managerial fields and the former vice-chairman of the Standing Committee of the National People‘s Congress, warned that the excessive money supply is like "a tiger in a cage". "Once it is released, the consequences will be severe."

Cheng attributed high property prices and the recent rush to buy gold to the faster-than-expected increase in money supply. He is concerned about high inflation in the long term.

Since the year 2009, policy makers have written the annual M2 growth target into the annual government work report, which is announced by the premier at the opening of the National People‘s Congress every March.

Ji Zhihong, director of the research bureau of the People‘s Bank of China, said that for making monetary policy, the nation uses money supply as the key control tool, while also paying attention to other reference indexes including interest and exchange rates.

"The final target is to maintain price stability and steady economic growth," said the bank official.

Previous 1 2 3 4 Next

Most Viewed in 24 Hours
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
 
主站蜘蛛池模板: 97影院理论片| 成人免费久久精品国产片久久影院 | 国产精品拍拍拍福利在线观看 | 欧美一区二区三区久久综合 | 毛片网站大全 | 手机看片日韩高清国产欧美 | 成人a毛片在线看免费全部播放 | 久久经典免费视频 | 一区二区三区在线播放视频 | 国产成人精品午夜 | 久草中文在线 | 国产精品亚洲国产三区 | 久久99国产乱子伦精品免费 | 欧美人与鲁交大毛片免费 | 久草免费在线视频 | 免费特黄 | 毛片女| 国产成人精品亚洲777图片 | 成人亚洲综合 | 99精品视频在线观看免费 | 91精品免费高清在线 | 成人免费网站在线观看 | 高清欧美性xxxx成熟 | 国产精品夜色视频一区二区 | 中文字幕一区二区三区视频在线 | 国产精选在线视频 | 免费国产a理论片 | 国产一区二区三区国产精品 | 免费人成在线 | 爽爽视频在线观看 | 日韩精品无码一区二区三区 | 在线视频亚洲欧美 | 日本欧美一区二区三区在线 | 欧美很黄视频在线观看 | 国产成人18黄网站免费网站 | 99久久精品免费看国产 | 模特三级在线观看 | 欧美另类丝袜 | 国产在线播放成人免费 | 欧美在线播放成人a | 精品日本亚洲一区二区三区 |