On Internal And External Imbalances And Transformation Of China’s Economy In New Era

With 30 years of Reform and opening up, China’s economy got rapidly growth. In the new century, especially since 2003, the internal and external macroeconomic environment which China faced, became more complex, particularly, the China’s economic emergent the internal imbalance, there also external imbalances, which have seriously affected on the quality and efficiency of operation in the whole economy. The current also falls on global financial crisis, give China’s economic growth and development more uncertainty, if not adjusted and transformed promptly, the prospects of economic growth will not optimistic. This paper is attempt to identify how to restructure in the imbalance of China’s economic, also try to make a operable direction and the path of development with an systematic analysis, which conduct to a combination of factors, such as the integrated economic and political in domestic and international, the Reform and opening up, etc..We introduce the background of selection, purpose and meaning of this paper; Definition and Analysis the basic concepts of economic imbalances, urbanization and industrialization, etc.; Point out the research methods and innovations of the full text and clarify the research ideas, technical route and structural arrangements, etc.Major study of this part is the research of the status quo in internal and external imbalances of China’s economic and its concrete manifestation. The mainly of internal imbalances are structural distortions in the economy, the power which spur the economic development is imbalance, the domestic demand is imbalance, namely high savings, high investment and low consumption, urbanization lags behind industrialization, distribution structure is irrational and unbalanced regional development, etc.; the mainly of external imbalances are the imbalances in international trade and international balance of payments, the continuously increased the foreign trade frictions and the intensified risk, with the increasing of foreign dependence.This part is mainly discusses the underlying causes of internal and external imbalances in China’s economy, namely the resource allocation issues. First, analysis the performance and consequences of error resource allocation, including the duplicate construction and industry convergence, private enterprises is difficult to obtain a fair support, extensive mode of development, slow growth in income, the increasingly prominent bottleneck of resource and environment problems, the degradation of social environmental and the fickle of price causing by excessive money supply; then from the development level and status of market economy in China, from the price distortions and the market players which lack of sensitive reaction to price signals, as well as the boundary with government and market is unclear, the still strong capacity in the allocation of resources from the government, etc. to demonstrate the market failed to become a dominant force in the allocation of resources; and finally, from a complex international economic environment to explore their impact on internal and external imbalances in China’s economic.We mainly put forward the relevant policy recommendations.First, with the reform of the distribution system of the national economy, improving the social security system, using the transformation in property to promote urbanization, and the education development under the new situation, these four areas to explore the transformable strategy in the economic development; and then build a new system of property rights from the deepening reform, achieve elements of market-oriented, as well as the reform in government management system to spell out how to achieve institutional transformation; and from intellectual property protection, establishing a strong capital market, nurturing entrepreneurs, encouraging innovation and giving play to advantages to strengthen scientific and technological progress, in order to demonstrate how to change the mode of development. On the last part of the policy, giving the innovative research and topics discussed on how to further expand the opening up, including the steps of internationalization of the RMB and its path arrangements, how to create an appropriate external demand, how to better and faster implement "going out" strategy and how to manage and use China’s huge foreign exchange reserves.