The Study Of Fiscal Policy Promoting The Reduction Of Unemployment Rate In The Downturn Business Cycle

The real economic cycle of the world promoted by China is currently in a declining stage.In 2008,the subprime mortgage crisis broke out.China issued a strong fiscal stimulus policy,which played a positive role in reducing unemployment in the short term.However,in the context of slowing economic growth,the unemployment rate is still rising slowly as fiscal policy stimulus subsides.In recent years,the Chinese government has used appropriate fiscal policy interventions to combine the recovery capabilities of the economy itself,and the unemployment rate has been slowly declining.In the next few years,that is,in the later stage of the economic cycle,the domestic economy may be eliminated due to the overcapacity of certain industries and the output of labor-intensive industries,resulting in an absolute rise in the unemployment rate.This paper draws on the real economic cycle of the world promoted by Japan and Western Europe in the 1950 s.After the peak of growth in the late 1970 s and early 1980 s,the economy slowed down,overcapacity,and labor-intensive industries exported.The development stage that led to the rise in unemployment rate,during which governments issued a number of fiscal policies and produced different intervention effects.On the basis of absorbing the experience of predecessors,China should base itself on the specific situation in China and combine the direction of future fiscal revenue and expenditure system reform to propose an innovative solution to the economic problems that will arise.