Nanjing National Government Issued Prepare Policy Studies

The issue reserve is the matter used for the reserve of banknote or soft money.Itsform can be gold,silver,standard currency,foreign exchange,securities and businessnote,etc.Issue reserve policy includes the decrees,laws,ordinances,means andmanagement measures about issue reserve,etc.During the 22 years history of the Nanjing National Government,the soft moneyissue authority consolidated,the frequent currency system reforms and theunprecedented inflationary spiral also happened.So it is very important to study thesoft money evolution of this period completely,then analyze the cause of advantagesand disadvantages,or success and failure,and sum up the experience and lesson.Thisarticle studies through the visual angle of issue reserve policy,and probe into itsevolution and different characters and effects,anatomy the difference between policyordain and execution,then discuss the status of issue reserve policy during thecoinage development and the relations with government credit and inflation.Thepurpose of this article is not to emphasize the meaning of issue reserve itself,but toopen out the problems reflected in the currency management of national governmentthrough the issue reserve policy.These problems help to understand,study and judgethe monetary policies and financial policies of Nanjing National Government.The issue reserve policy of Nanjing National Government experienced such fourstages as convertible note,Chinese national currency,gold yuan and silver certificate.During the period of convertible note,issue reserve and money valuta have directcorrelation.Under the situation of many banks with issue authority,because of thedifferences of issue reserve strength,policy and management among the issue banks,the soft moneys' credit issued by different banks and different areas have bigdifferences,and then influence their issue amount.During this period the duty ofmaintaining the valuta mostly rest with the issue banks,the government just exerts thelimited supervision and examination function.CNC reform auspicated the epoch ofChinese monetary history,and abandoned the metal currency,unified the issue andcollect reserve by the government,realized the managed currency system.Justbecause of its initiation,no matter the authorities or the demos cannot change thementality of recognition metal currency at once,so the government made out detailedordains about the management and content of issue reserve,the earlier work alsoevolved surrounding this problem.But under the managed currency system,the use of issue reserve had great difference compared with convertible note,embodying that itsdirect sanction toward valuta stabilization and issue amount weakened,and moredepend on the government's management and administration.This article makes systemic carding and analysis of the text ordain,executionand society reaction of CNC,gold yuan and silver certificate issue reserve policies,and find many malpractices among the government's management,such as there areno effective steps about the fundamental problems of setting up perfect financeorganizations,balance finance income and expenses and developing production andso on;although the government emphasize enriching issue reserve in laws andpropagandizing,they repeatedly break their ordain and promise during practicalexecution;because of the fast changes in policy ordains and different attitudes inexecutions,not only the issue reserve cannot exert its use,but also the demos finallydon't trust in the government any more,which leads to any saving steps are of nohelp.