Viewpoint | Give full play to China's ultra-large-scale market advantages and domestic demand potential!

Viewpoint | Give full play to China's ultra-large-scale market advantages and domestic demand potential!

The new crown pneumonia epidemic happened just before and after the Spring Festival. It objectively brought about a large impact on some service industries such as tourism, accommodation, catering, transportation, and logistics, and adversely affected China's economic operation in the short term. In order to effectively overcome the impact of the epidemic on economic operation and achieve the economic goals and tasks for the whole year, we should actively implement the relevant decision-making arrangements of the Party Central Committee, give full play to the advantages of China's ultra-large-scale market and the potential of domestic demand, and continuously enhance the resilience and vitality of economic development.

In his important speech on February 23, General Secretary Xi Jinping made scientific arrangements for the overall promotion of epidemic prevention and control and economic and social development, and emphasized that "the full potential and strong momentum of China's development will be fully released to achieve economic and social development this year. Development Goal Task. " Earlier, at the meeting of the Standing Committee of the Political Bureau of the Central Committee held on February 3, General Secretary Xi Jinping emphasized the need to "focus on stabilizing household consumption" when talking about maintaining a stable economy. At the meeting of the Standing Committee of the Political Bureau of the Central Committee held on February 12, it was emphasized that "it is necessary to promote the quality and expansion of service consumption, expand the consumption of physical goods, and accelerate the release of emerging consumer potential." The meeting of the Political Bureau of the Central Committee held on February 21 emphasized once again that "we must actively expand effective demand, promote consumption replenishment and release potential". The above-mentioned requirements emphasized by General Secretary Xi Jinping's speech and the meeting of the Political Bureau of the Central Committee essentially provided us with the right direction and provided scientific guidance for us to give full play to the advantages of China's ultra-large-scale market and the potential of domestic demand, and to maintain stable economic operations.

Through the development of reform and opening up for more than 40 years, China now has a super-large-scale market advantage and domestic demand potential. The Central Economic Work Conference held at the end of 2019 pointed out that the basic trend of China's economic stability and long-term improvement has not changed. The conference emphasized "there are four", one of which is "there is a huge market advantage and domestic demand potential." "Super-large-scale market advantage and domestic demand potential" refers to China's large-scale domestic demand market with diversified supply and demand, active innovation, and strong driving force. At present, China is the second largest economy in the world, the world's most populous country with a population of 1.4 billion, the world's largest middle-income group with hundreds of millions of people, and more than 100 million market economy entities. Data from the National Bureau of Statistics shows that in 2019, the contribution rate of final consumption expenditure to GDP growth was 57.8%, and consumption as the first major driver of economic growth was consolidated. This has laid a solid foundation for China's super-large-scale market advantages and domestic demand potential. It is precisely because China has such a strong ultra-large-scale market advantage and domestic demand potential that the impact of this epidemic on our economy will only be short-term and limited, and it will provide China with a way to overcome the epidemic, overcome the impact of the epidemic, and maintain long-term stable economic development. Strong toughness and confidence.

To give full play to the advantages of China's ultra-large-scale market and the potential of domestic demand, we must now focus on stabilizing household consumption. Although the epidemic has affected both the production and consumption fields, the impact on the consumption field is relatively small and the time is shorter, because 1.4 billion people have a large consumer body, and by changing consumption patterns, such as online Shopping, online meal ordering, and online entertainment have achieved compensatory growth in consumption. Therefore, by introducing certain guiding and supporting policies and measures, accelerating the progress of Internet information technology, and encouraging the development of new consumer formats and new models, we will be able to stabilize and expand household consumption and consolidate the "ballast stone" of stable economic growth.

To make full use of the advantages of the large-scale market and the potential of domestic demand, it is necessary to promote the quality and expansion of service consumption. In recent years, with the improvement of people's living standards and the improvement of supply levels, household consumption is changing from physical to service. Services such as culture and entertainment, leisure tourism, mass catering, education and training, medical care, and health care have become new hotspots. Earlier in September 2018, the "Comments on Improving the Consumption System and Mechanism to Further Stimulate Residents' Potential of Consumption" issued by the Central Committee of the Communist Party of China and the State Council proposed that the consumption of cultural tourism and sports, consumption of healthy elderly care and housekeeping, and consumption of education and training for children In all aspects, we will continue to improve the quality and expansion of service consumption. In this regard, the provisions of the central document should be detailed to accelerate the implementation of policy measures. It is worth emphasizing that we should take this epidemic response as an opportunity to further cultivate residents' healthy living habits, guide enterprises to increase the supply of related products and services, and expand the production and sales of green food, medicine, sanitary products, and fitness equipment.

To realize the advantages of the large-scale market and the potential of domestic demand, it is necessary to expand the consumption of physical goods. At present, the consumption structure of residents in China is constantly improving. The consumption of residents has shifted from the satisfaction of weight injections to the pursuit of quality improvement. The consumption demand of residents for various durable goods, automobiles and other commodities is growing rapidly. During the epidemic, people resumed work and production, and put more demands on self-driving cars to go to work and travel safely, but some cities are still implementing strict auto purchase restrictions. In response to this, in accordance with the central government's requirements for actively stabilizing traditional bulk consumption such as automobiles, areas where automobile purchase is restricted should be encouraged to appropriately increase quotas on automobile license plates to drive consumption of automobiles and related products.

To realize the advantages of the large-scale market and the potential of domestic demand, it is necessary to accelerate the release of emerging consumer potential. With the advancement of Internet information technology and the expansion of network coverage, as well as the outstanding features of easy operation, large choice of products, and obvious price advantages brought by online shopping, the scale of online retail has continued to grow and become an important factor in consumption growth. Since the beginning of this year, due to the impact of the epidemic, people have chosen to reduce their outings and shift their consumption needs from offline to online. Fresh food delivery platforms, online medical services, online games, online videos, online education, and online office have become many people's Ways of daily life. From the perspective of short-term hedging outbreaks and long-term promotion of economic structural adjustment, we need to accelerate the release of emerging consumer potential, actively enrich 5G technology application scenarios, drive 5G mobile phone and other terminal consumption, and promote the increase of e-commerce, e-government, online education, online entertainment, etc. Aspects of consumption.

The new crown pneumonia epidemic has adversely affected people's physical and mental health and economic operation in the short term. However, the general public has actively adjusted their lifestyles, changed consumption patterns, improved consumption quality, released emerging consumption potential, and finally guaranteed their normal lives. And enhanced the momentum of economic growth. We believe that under the correct leadership of the Party Central Committee, the people of the whole country will become a city, and the people will work together to fully utilize China's ultra-large-scale market advantages and the potential of domestic demand, and will surely win both the epidemic prevention and control and the realization of this year's economic and social development goals.