Causes And Countermeasures Of China's Recent Inflation

In the economy of a country level, inflation is a very important economic factor. This is because inflation has closed relation with the income distribution pattern of a country, the country's economic structure, resources and other factors. From 1980 China has occurred 5 inflations, every inflation have resulted in different effects to our country's social-economy. China's recent inflation began in 2003, although this time the government has taken many measures to control inflation, but until today, the inflation problem has not been resolved.The paper studies focused on the second half of 2007 to the first half of 2008. Research papers in the content of thought and research methods, the main qualitative analysis and quantitative analysis, comparative analysis methods such as China's inflation in the near future to analyze the causes, and treatment recommendations.First of all, the author cited the recalled and Western Economics described some of the classic theory of inflation, and inflation at home and abroad through a different interpretation of the definition, measurement scales and the different types of inflation, and so on to deepen their understanding of inflation.Second, from the cost-push and demand, money supply, the public's expectations of inflation, as well as international factors for our country to the impact of inflation on the causes of inflation in China in the near future to carry out qualitative analysis, and select international crude oil prices, the amount of money in circulation in China, China's GDP growth rate, as the independent variables such as exchange rate of inflation to do quantitative analysis.Third , cited the treatment of inflation in 1979-1981 of England, the treatment of inflation in 1973-1982 of France ;the treatment of inflation in1970s in United States, as well as management of Germany 1991-1993 inflation policy measures adopted by the management of inflation , in order to learn from practice and experience these countries. From the theoretical and practical point of view, and for inflation-related factors, from a macro perspective to the field of China's fiscal policy and monetary policy, in combination, agricultural products, industrial raw materials and energy, real estate and other areas of policy recommendations and other relevant policies as a discussion the object; in the field of micro-enterprises to reduce production costs, the introduction of competition in the market, to develop private enterprises in such areas as the object of discussion, from both macro-and micro-management to put forward China's inflation in the near future comments and suggestions.