The Study On Public Debt Scale In China

It has been extensively noticed that China's public debt expanding rapidly and greatly. To some extent, its scale and relative indexes have become a main aspect to observe macro-economic situation and trends. This article, based on the general theory of which I predict its trend and eventually present specific policies and suggestions.In my opinion, public debt is necessary. However we should control its scale. We can't let it be overwhelming because its major characteristic is to pay principle and interest. Accordingly we should take action in seven aspects such as improving taxation system, reinforcing the ability in public debt management and solve the problem in the long run. The innovation of the article is to offer the relative formulation , an index system of examining public debt and a statistics model of public debt so as to provide evidence for scientific location of public debt scale. The purpose of the whole article is to contribute myself to reinforcing the ability of public debt management and improving the macro-economic environment.