CSSN-Economy entering phase of macroeconomic adjustment

Economy entering phase of macroeconomic adjustment

Author : Source : 2016-03-25

Driven by deleveraging and the reduction of excess capacity, China’s economy has entered a phase of macroeconomic adjustment in 2016, according to a recent report by the National Academy of Development and Strategy at Renmin University of China. Liu Fengliang, an economics professor from the university, said that the framework for this round of macroeconomic adjustment should be changed to reflect the “new normal” and new reform strategies. The report identifies economic growth and increasing employment as the primary goals of macroeconomic adjustment. Price stability and balance of payment are secondary goals. In terms of primary goals, exports and investment are the focal points of adjustments. The report also sub-divided proposed adjustments into three categories based on the time scale for carrying them out and offered solutions for potential problems in each category.

Editor: Yu Hui