The Reason Exploration Of The Remarkably Slowly Proceeding Of The RMB Exchange Rate Regime's Reform

In general,it is difficult to say that the floating exchange rate regime is better than the fixed exchange rate regime,or the fixed exchange rate regime is better than the floating exchange rate regime,but China's scholars and leaders would like to choose the floating exchange rate regime as the objective of the reform of RMB exchange rate regime,thinking of that the China as a big country should gain the independence of monetary policy and the floating exchange rate regime is coherent with the objective of reform of market economy,the advanced market economy.Although Chinese has chosen the objective of exchange rate regime,the reformation of exchange rate regime make progress quietly slowly,for the floating exchange regime is the last destination of the liberalization of finance,and the mark of the advanced economy,which locally suggest the floating exchange rate is based on the complete liberalization of domestic finance,and the complete improved economic structure,but there is a plenty of flaws and defective in our finance system,and the economic structure is low far from the perfect shape.All sorts of shortcoming in our finance system are originated from the monopoly of state owned company,and the promotion of economic structure need the rise of private economy,which is opposite to the predominant role of the state owned economy.Comparing the evolution of the British modern completely liberal economy with the China' reality of no belief in freedom in general,we know that our country belief on the welfare is the belief of the wholly social welfare,we shall not pursue to construct the modernly free economy of institutes,instead,we shall pursue to construct the socialistic market economy of institutes and we can not root up the monopoly of the state owned company for long time,which means that China will sustain the exchange rate regime tilting on the side of the fixed exchange rate regime more than the floating exchange rate.The floating exchange rate regime with the reference of a basket of currencies is suitable for our country,for it is not only based on the demand and supply of market,but also managed according the situations.The 811 reform of exchange rate regime and its failure indicate that we can't improve the structure of economy and clear the flaws and defectives in financial market unless we succeed to break the monopoly of state owned company.The government is encouraging the state owned companies to construct the mixed ownership company,by combining the state owned capital with the non state owned capital,which is helpful to bring more activity to the state owned company and reduce their monopoly,but the mixed ownership faces many predicaments,such as whether the state owned capital or the non state owned capital dominates the mixed ownership company,the mixed ownership Ltd.do their businesses as a full market company or partly market one and so on.It would takes long time to get rid of the state-owned company monopoly or improve the structure of the economy,It would also take long time to get rid of the short time obstacles on the road of the marketization of RMB,due to them connected with the long time obstacles,such as the shortcoming of the activity in the state owned firms,the low structure of economy and so on.So the reform of RMB exchange rate regime is a long cause.