Why does China regard the balance of payments as one of the goals of macroeconomic regulation and co

In recent years, China's ** surplus has grown rapidly, and its foreign exchange reserves have continued to rise.

The imbalance in the balance of payments has become a conspicuous problem in macroeconomic operation. Although China's balance of payments continues to maintain a strong overall ability to resist risks, the imbalance of the balance of payments surplus is relatively prominent, and promoting the balance of payments is of great significance for maintaining the rapid and sound development of the national economy. The high growth of China's surplus in recent years also highlights the urgency of transforming the growth mode.

China's growth is still dominated by quantitative growth, taking a scale expansion of the "rough growth" road, in the long run not only its own unsustainable, but also in the balance, exchange rate policy and economic regulation and other aspects of the restraint, increase the economic, financial and industrial insecurity. Therefore, we should update the narrow concepts of "export achievements" in some places, change the current growth mode in a timely manner, and avoid being controlled by others in terms of balance, exchange rate policy and economic regulation and control.

Revenue exceeds expenditure, indicating insufficient investment, which is not conducive to the further development of the economy, and is easy to fall into disputes, accused of too many barriers, and so on.

If spending more than revenue, it may lead to an overall fiscal deficit, and excessive competition in foreign markets will inhibit the development of the domestic market and be detrimental to economic development.

Short-term imbalances are normal, but long-term problems are many. It also involves a series of issues such as industrial restructuring, technological innovation, foreign exchange reserves, and the renminbi exchange rate.

First of all, after China's accession to the WTO, China's economy has been further integrated into the process of economic globalization, and the degree of opening up to the outside world has been further expanded. Therefore, in order to maintain the basic balance between aggregate social supply and aggregate demand, it is necessary to take into account the balance of domestic and foreign economic activities, and it is necessary to regard the maintenance of the balance of payments as one of the objectives of the state's horizontal regulation and control. The ultimate goal is to promote economic growth, which is also one of the goals of macroeconomic regulation and control.

Legal Analysis:1 Fiscal Policy.

Macro-fiscal policy refers to the policy of a country to manage the demand of the national economy by adjusting taxes and expenditures. It is often used as a means of regulating the domestic economy. Since changes in aggregate demand can change national income, prices, and interest rates, and initiate the balance of payments and monetary adjustment mechanisms, fiscal policy has become a means of adjusting the balance of payments.

2 Monetary policy.

Macro-monetary policy refers to the policy of a country's ** and financial authorities to achieve the management of the demand of the national economy by adjusting the amount of currency. In advanced capitalist countries, the amount of money is generally adjusted by changing the rediscount rate, changing the statutory reserve rate, and conducting open market operations. Since changes in the amount of money can change interest rates, prices, and national income, monetary policy has become a means of adjusting the balance of payments.

3. The combination of fiscal policy and monetary policy.

Monetary policy and fiscal policy, which are important means of macroeconomic adjustment with economic growth, price stability, full employment, balance of payments, and financial stability, the adjustment of a single target by a single policy will cause changes in another goal, such as when adjusting the balance of payments with a tight fiscal policy, the driving force of economic development will be reduced due to the increase in the burden on enterprises, which will affect domestic economic growth, etc., so the use of fiscal policy and monetary policy has its own focus and is often used in tandem.

4 Exchange rate policy.

Exchange rate policy refers to the policy of a country to adjust the balance of payments by adjusting the exchange rate of its own currency. When a country has a balance of payments deficit, the implementation of currency devaluation can enhance the international competitiveness of exported goods and weaken the competitiveness of imported goods, thereby improving the country's balance of payments. When a country has a long-term balance of payments surplus, it can promote a balance of payments through currency appreciation.

In order to ensure the relative stability of international exchange rates, the International Monetary Organization (IMO) has stipulated that member countries can adjust their exchange rates only when there is a basic imbalance in the balance of payments.

5 Direct Control Policy.

Direct control policy refers to the policy measures that directly intervene in foreign economic exchanges to achieve balance of payments adjustment. Direct control can be divided into foreign exchange control, financial control and ** control.

Legal basis: Article 6 of the Constitution of the People's Republic of China The basis of the socialist economic system of the People's Republic of China is the socialist public ownership of the means of production, that is, the ownership of the whole people and the collective ownership of the working masses. Socialist public ownership abolishes the system of exploitation of man by man, and implements the principle of each according to his ability and distribution according to his work.

In the initial stage of socialism, the state adhered to the basic economic system with public ownership as the mainstay and the common development of economies under various forms of ownership, and the distribution system with distribution according to work as the mainstay and the coexistence of various forms of distribution.

Answer]: False. A long-term huge deficit or surplus in the balance of payments will have a very adverse impact on a country, so it is necessary for each country to take measures to adjust the balance of payments and keep its balance of payments within a reasonable limit.

Hello! The goal of the balance of payments requires a stable exchange rate, an increase in foreign exchange reserves, and a balance between imports and exports. The balance of payments does not passively offset a country's current balance of payments and capital balance in the balance of payments account, nor does it passively prevent changes in exchange rates and foreign exchange reserves, but increases a country's foreign exchange reserves.

A modest increase in foreign exchange reserves is seen as a basic indicator of improved balance of payments. At the same time, because a country's balance of payments situation not only reflects the country's foreign economic exchanges, but also reflects the degree of stability of the country's economy.

A country's balance of payments deficit will generally cause the exchange rate of its own currency to fall; If the deficit is severe, the local currency exchange rate will fall sharply. If the country's monetary authorities are unwilling to accept such consequences, they will intervene in the foreign exchange market, i.e. sell foreign exchange and buy the national currency. On the one hand, it will deplete foreign exchange reserves, and even cause the depletion of foreign exchange reserves, thereby seriously weakening its ability to pay externally; On the other hand, it will lead to a domestic monetary tightening situation, which will lead to an increase in interest rates, which will affect the growth of the domestic economy, which will lead to an increase in unemployment and a relative and absolute decline in the growth rate of national income.

A surplus in a country's balance of payments can certainly increase its foreign exchange reserves and strengthen its ability to pay externally, but it will also have the following adverse effects:

1 In general, the exchange rate of the national currency will increase to the detriment of the development of its exports**, thereby increasing the problem of domestic unemployment.

2 Although the surplus can increase the domestic ** and foreign exchange reserves, it will also increase the amount of the national currency** and increase inflation.

3 It will exacerbate international friction because a surplus in a country's balance of payments means that the country concerned has a deficit in its balance of payments, which can easily lead to retaliatory measures by the other party.

4 For developing countries, the formation of a balance of payments surplus is often due to excessive exports, which means a reduction in domestic resources and is therefore detrimental to the economic development of developing countries.

Therefore, all of the above requires that the balance of payments be included in the goal of macroeconomic regulation and control. Under the conditions of an open economy, the issue of the balance of payments is the same for any country and must be included in the scope of its regulation and control. The reason why the United States has been clamoring so much about the appreciation of the renminbi some time ago is also to maintain its own balance of payments and to benefit the development of its own domestic economy.

That's the best way to do it!

An imbalance in the balance of payments is the opposite of a "balance of payments (balanced)". Balance-of-payments imbalances (imbalances) are a frequent occurrence in a country and are unavoidable. This balance of payments imbalance manifests itself in a surplus or deficit.

If a country has an excessive surplus or deficit in its balance of payments, it will have a significant impact on economic development. The causes of the imbalance in the balance of payments are varied, and vary from country to country and from period to period, mainly due to the following reasons: First, it is affected by cyclical changes in the economy.

The economic development of capitalist countries is cyclical, and different stages of the cycle have different impacts on the balance of payments.

Generally speaking, in a boom period, there may be a current account surplus and a corresponding increase in foreign exchange reserves due to a large increase in imports and exports due to a high level of production, while in a depression, as production declines, exports decrease, leading to a deterioration in the balance of payments.

Second, it is affected by the structure of the economy. Economic structure refers to a certain proportional relationship between various production sectors in a country. This state of economic structure is caused by factors such as the country's geographical environment, economic conditions and technological level.