Dialectical Relationship Between Research, About China's Lack Of Effective Demand And Effective Supply

Since 1990s, our country's macro-economy circulation has appeared a series of problem, such as the speed of the growth of GDP drops, the commodity price level keeps on lowering, the society consume demand slows down, the unemployment rate rises year by year ,etc. Government and economists have come to an agreement on expanding native demand. We should say that the result of these positive monetary and fiscal policy which has been adopted by our country government since 1998 is effective, and the market has recovered a little, but this does not mean the market is completely recovered from deflation, in fact, the overcast condition in market is not basically turn round and deflation still exists. All these maybe lie in these policies are incompletely applicable to Chinese transitional economy. Currently under the incompletely buyer market term the unequilibrium between supply and demand is effective supply lacking. In order to solve the effective-demand lacking we should increase the effective supply besides extend the effective demand, the problem of effective demand lacking in fact is the problem of effective supply lacking.Along the above way of thinking, the paper admits the fact that our country's effective demand is not enough firstly, and analyses the problem of effective demand lacking both in positive and in theological angle. At the same time through the discussion of the dialectical relation between effective demand and effective supply, the paper point out the effective demand lacking results in effective-supply lacking. The paper enumerate the type and the phenomenon of effective supply lacking in our country, and analyses the reasons of our country's effective supply lacking. Finally the paper point out institution lacking is the reasons that cause effective-supply lacking. The author tries to comprehend and explain the problem of Chinese economy growth in two layers from the demand to the supply. The paper points out the effective demand lacking result in the effective supply lacking .We should not discard the demand management policy in short term, but should improve the consumption environment. In long term we should try our best to increase effective supply, the increase in effective supply and the expanding of the produce possibility curve is essence of economy development.