Chinanews.com Beijing, December 11 (Liu Wenwen) The Central Economic Work Conference concluded recently.
The meeting pointed out that while fully affirming the achievements, we must see that my country's economic development is facing the triple pressure of demand shrinking, supply shocks, and weakening expectations.
Guo Tianyong, director of the China Banking Research Center of the Central University of Finance and Economics, said in an interview that there are two main points in dealing with the "triple pressure": one is to create a good business environment for enterprises, and the other is to encourage technological innovation.
Guo Tianyong said that China's economy is affected by the epidemic and changes in the international environment, and there are threefold pressures.
Among them, the contraction of demand mainly refers to the difficulties in the operation of enterprises, especially small and medium-sized enterprises under the new crown pneumonia epidemic, and the income of practitioners has also encountered certain problems, which has led to a certain degree of contraction in consumer demand and enterprise investment demand.
Supply shocks mainly come from the international level, and the rise in international commodity prices is one of the important reasons for the expansion of my country's PPI growth.
In this environment, worse judgments about the future make investment and consumption desires lower, and banks appear to be reluctant to borrow. In this way, expectations weaken and the economy is prone to endogenous austerity.
Facing the "triple pressure", how does the Chinese economy find a solution?
In Guo Tianyong's view, future policies should be based on creating a better environment for enterprise development on the one hand, and encouraging technological innovation on the other.
He further pointed out that it is necessary to actively adjust macroeconomic policies, create a better operating environment for enterprises, and make full use of fiscal and monetary policies to boost confidence in investment and consumption.
The meeting pointed out that structural policies should focus on smoothing the circulation of the national economy.
To deepen the supply-side structural reform, the focus is on smoothing the domestic cycle, breaking through the supply constraints, and opening up the links of production, distribution, circulation, and consumption.
In this regard, Guo Tianyong said that it is necessary to tap domestic demand, especially to encourage technological innovation, only innovation can create new demand.
Provide better quality and more effective supply through the supply side, stimulate new demand, and create a large number of jobs.
(Finish)