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(yǔ)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: 亚洲一区欧洲一区 | 欧美精品一级 | 日韩毛片免费线上观看 | 亚洲国产精品一区二区久 | 成人国产在线不卡视频 | 久久视屏这里只有精品6国产 | 窝窝午夜看片七次郎青草视频 | 欧美毛片a级毛片免费观 | 中文字幕在线观看一区二区 | 宅女福利视频在线看免费网站 | 萝控精品福利视频一区 | 国产91无套剧情在线播放 | 99久久免费看国产精品 | 欧美人与zoxxxx另类9 | 亚洲精品国产福利一区二区三区 | 888米奇在线视频四色 | 爽爽窝窝午夜精品一区二区 | 真实国产普通话对白乱子子伦视频 | 国产精品国产欧美综合一区 | 自拍1页 | www.亚洲精品| 手机看片在线播放 | 日韩欧美在线综合网高清 | 18免费视频 | 99久久综合| 免费国产不卡午夜福在线 | 真实国产乱人伦在线视频播放 | 成年人免费大片 | 91无毒不卡| 另类视频一区 | 99精品视频在线免费观看 | 又粗又爽又色男女乱淫播放男女 | 伊人资源 | 国产成人午夜极速观看 | 在线看片中文字幕 | 亚洲另类视频 | 99精品高清视频一区二区 | 日韩精品一区二区三区在线观看l | 欧美一做特黄毛片 | 国产精品福利午夜h视频 | 精品一区二区三区免费毛片爱 |