Studies On The Relationship Between Chinese Fictitious Economy And Real Economy

Fictitious economic theory regards the entire economic system as a value system based on the economic laws of operation. In economic value system, there are two separate and unified subsystems; real economy system and the fictitious economy system. The real economy system is based on material cycle of social production, exchange and consumption, which is cost for the support of the value system. Fictitious economic system is attached to the credit system and it is a psychological price for the support system. There are many different operating characteristics between fictitious economy and real economy. Linear equations can not express the relationship between them clearly. The relationship is not only monetary economy content, but also the different ways they run. Money as the carrier reflects deep-seated reasons of technical, psychological and social. With the economic development, people's knowledge of the virtual economy is deepening. The positive role of the virtual economy is affirmed. China's increasing size of the virtual economy, it plays an important role for the economic stability and development, so that we must understand the relationship between fictitious economy and real economy. This paper tells the status of the virtual economy and the empirical analysis of the relation between the virtual economy and real economy. Through the empirical analysis about the overall and dynamic relationship between the virtual economy and the real economy, we can identify problems in the virtual economy. At last, the article brings forward some suggestions.First, this paper tells us different viewpoints about the relationship between fictitious economy and real economy. Secondly, the paper examines the status of the development of fictitious economy.Thirdly, this paper discusses the relationship between fictitious economy and real economy. Using method of Empirical analysis, we summarize the relationship between fictitious economy and real economy. At last the paper brings forward suggestions based on the related problems.The innovation of this paper is the empirical analysis of the relationship between the fictitious economy and the real economy. After the analysis of the relationship based on micro-macro perspective, the first is the empirical analysis of the correlation between the fictitious economy and the real economy, and the next is the long-term dynamic relationship. Finally, it is the empirical analysis of the effect of the fictitious economy. The empirical analyses show that the fictitious economy and real economy have strong correlation, but changes of fictitious economy do not lead to changes in the real economy. The reason is that the fictitious economy has no significant effect on household consumption and increasing turnover on the stock and bonds do not drive investment increasing. In some extent, this reason explains the phenomenon in China, which domestic consumption remained weak and business investment were still shortage in the bull market. At last the paper makes suggestion that we should develop the fictitious economy based on the real economy and adheres to integrate the real economy restructuring and the real economy improving to promote the development of the fictitious economy.