| According to research, due to insufficient argumentation and knowledge of the non neutral functionality of currency, the existing theory of macroscopic economy has significant defects (including Keynesianism and presently mainstream theories), so that they are hard to address ten key problems faced by the economy of China centered by the problem of economic structure. The defects of these theories have not been rectified yet because they have close relations with defects of economy models in macroscopic economy and currency theory researches, problems in analysis methods, and fault areas in research directions.This thesis builds an economy model compliant with basic features of modern market economy - an economy body with excess production capacity as well as balanced production and sales, and adopts a brand new economic research method -scenario deduction method to deduct currency issuing in different scenarios (avoiding traditional methods starting from the research on currency demands), and successfully completes the argumentation on the existence of the non neutral functionality of currency, and makes comprehensive interpretations on its existence principle. The thesis interprets four principles causing the non neutral functionality of currency from the angles of manufacturer, regulator, consumer, and borrower, and they are microscopic price rigidity, integral price rigidity, macroscopic Giffen phenomenon, and debt rigidity effect.During the deduction process and result analysis, I found that the supply structure of currency has important impact on the economic structure, and will also influence the stability of gross volume expansion and economic operation. This thesis analyzes reasons and mechanism causing such impact, and based on which, argues for the importance of the adoption of fiscal deficit, to include theoretical reasonability (Section 4, Cap 2), theoretical necessity (Section 4, Cap 3), and practical feasibility (Cap 5), which are core achievements with most practical values in respect of theory of this thesis.The thesis proceeds to the principle and limits of economic expansion, and describes the mechanism and countermeasures of deflation and inflation, as well as concepts and difference of two systems: the natural economic system and the credit economic system (Section 5, Cap 6), and further brings forward the concept of economic stability and source drive under the circumstances of modern market economy, and based on which, further analyzes the necessity and mechanism of adopting regular fiscal deficit to drive the growth of the service industry.The thesis also discusses the impact of monetary stock on the economy, and points out that in the market economy with excess production capacity, adverse results of big monetary stock are usually expensive services and asset price bubbles, and the former might be far as to China, but the latter is practical. The thesis also points out that in order to assess whether the monetary stock in a economic system is too big, real estate price, service price and exchange rates must be analyzed together. The thesis also analyzes reason for expensive services in developed countries, as well as shock of asset price fluctuation to the economy and relevant countermeasures, and discusses the separation of the non neutral functionality of currency in a multiple-currency system and the degeneration of such functionality in a planned economic system.On policy suggestions, the thesis makes diagnosis on problems in the economic structure of our country, and comes to an conclusion that marked problems in currency issuing in our country are "big increase volume, insufficient storage, and imbalanced structure", and points out that the main reason for defected economic structure of our country is restricted development of the service industry due to insufficient fiscal currency issuing (4-6 times contribution ratio compared with other factors), and key to rectify such defects are to increase the issuing of national debts and to expand fiscal deficit. The thesis adopt the non neutral principle of currency to bring forward methods of scientifically assessing risks and effects of national debt issuing, argue for the feasibility of increasing national debt issuing and expanding regular fiscal deficit, analyze middle and short term scale demands in national debt balance and other key restrictive conditions, and based on which, bring forward the rule and core solution of integrating economic structure adjustment into the economic expansion, which is also the core achievement of this thesis in practical aspects and provides a possible solution for ten problems faced by the economy of our country.Based on the argumentation and the breakthrough in the knowledge of the non neutral functionality of currency, the thesis makes initial theoretical adjustment and rectification on the existing currency theories and macroscopic economy theories, and has a try in offering 38 deductions related to the non neutral functionality of currency, hoping that after relevant amendments, rectifications and improvements, those deductions will provide theoretical support for directing the macroscopic economy regulation and general design of the reform policies of our country, and also provide support for the design of social welfare policies, salary reform in government-sponsored units, trivial enterprise policies, and labor guarantee policies of our country.Chapter 6 of this thesis also makes broad discussion on knowledge of the non neutral functionality of currency and adoption of macroscopic economy, such as fault areas in the static analysis method, conditions to promote the best currency zone, rules for microscopic subjects and national main fiscal budget, labor protection and employment, opinions on trade deficit to the United States, interior effect of technological progress, relations of planning and market, welfare policy, renminbi internationalization, etc, including supplements and interpretations of some opinions of the thesis.This thesis makes theoretical research and thinking on multiple aspects of the macroscopic economy theory, involving fundamental theories, application theories, research methods, model building, etc. The most signification research is the systematical interpretation of functions and applications of fiscal deficit in aspects of both theory and practice, pointing out that the focus on of domestic economic society fiscal deficit is limited to debt risks and is insufficient in respect of its functions in the macroscopic economy. The thesis argues that issuing channels of currency have significant effect on the income structure, fortune structure and credit structure of an economic system, which is the microscopic presentation of the non neutral functionality of currency. As fiscal issuing of currency, fiscal deficit is extremely essential to stable operation and continuous expansion of the economy. Based on a series of argumentations and analysis, the thesis brings forward a significant argument that a country with gigantic population must adopt fiscal deficit to drive the development of the service industry, and points out that properly applied regular fiscal deficit will have a better drive effect.This thesis is composed of six chapters (in addition to the introduction part). The first three chapters, for the argumentation on the non neutral functionality of currency, include the argumentation and interpretation on three aspects: existence, existence mechanism, and function mechanism; the rest three chapters, for the applications of the non neutral functionality of currency, include three sections: theory tidying up, policy suggestions, and economic explanations. The entire thesis forms a close and integral system. The introduction part makes a brief introduction to backgrounds, reference and research achievements of this thesis. |
PDF Full Text Request