Evolution Of The Theory And Practice Of Monetary Policy In China Since The Reform And Opening Up

This dissertation provides an analysis of the theoretical and practical evolution of China's monetary policy from economic ideology history aspect since the opening and reforming policy was carried out. The study explores the existing literatures on this subject by more than 100 authors, not only evaluates the representative scholars' viewpoints, but also analyzes the procedure of hot topics of those days. With the development of structural changes, some of the arguments, which impel the progress of China's monetary policy practice, have been settled down. This dissertation emphasizes the interactive of theories and practices. It reveals how important the institutional innovation has influenced the maturity of China's monetary policy theory.This dissertation consists of eight special issues concerning the theories and practices of monetary policy primarily posterior to the reform period. The first topic is the objectives dilemma of monetary policy. The second is about the targets, including cash, money supply, credit scale and interests etc. The third is about the tools of monetary policy, including deposit reserve ratio, rediscount rate, open-market operation, etc. The fourth topic is about the changes of money supply and demand mechanism. In this chapter I discuss the classification of China's money level, the money multiplier, and the monetary circulating speed. The next two topics are concerning the relationship between monetary policy and inflation/deflation, revealing the experience accumulated in the procedures of dealing with inflation and deflation and to shed light on current policy. The seventh explores the transition of monetary policy's transmission mechanism. The last topic studies on the efficiency of China's monetary policy, and summarizes the relation between the variables to make the policy more effective.