The Main Transmission Mechanism Of Monetary Policy In Transition

Combining the western scholars' theoretical researches on the monetary policy's transmission mechanism with the specific analysis of Chinese financial system circumstances,the paper advances that Chinese monetary policy's main transmission mechanism should be transferred from the credit supply mechanism to the interest rate mechanism with the changes in the financial system and structure and the transition of financial macro-adjustment. This is also the main research clue of this paper. According to the clue,Firstly,in the analysis of credit supply mechanism,the writer reach conclusions that (1) the characteristic of the credit supply mechanism should be developed from disequilibria to equilibrium. And it should be an important implement to the future main mechanism:the interest rate mechanism (2) the integration of industry and finance under the direction of the market is an effective solution to the asymmetric information between the banks and the corporations involved. Secondly,it is urgent to construct and perfect the interest rate mechanism. In order to make it into full play and break the barrier to the transition of the main transmission mechanism,the main measures consist of (1) making efforts to heighten the market behavior's sensitivity to the interest rate;(2) deregulating the interest rates system step by step;(3) further developing and improving the monetary market. Finally,the paper analyzes the selection of the monetary policy's intermediate target. With the transition of the monetary policy's main transmission mechanism,the intermediate target,as its monitor,should be switched to the real interest rate. The empirical study concludes that the intermediate target should be a series of targets with MI as the main objective during the intermediate target's transition from the credit scale to the real interest rate.