| Author: | Lu, Wei |
| Title: | Some analyses on systemic features of China's financial subsidy (original in Chinese) |
| Journal: | Reform of Economic System (c)
1993 : 6, p.83-88 |
| Index terms: | FISCAL POLICY PUBLIC FINANCE PUBLIC EXPENDITURE CHINA |
| Language: | chi |
| Abstract: | In short period, the subsidy as pressure-reduced valve of price mechanism running, is indeed playing the role of stabilizing price and raising real consuming level. But in long term, the subsidy inevitably leads to promote demand, with which the pressure of price rising will occur. This will not raise consuming level, but damage the original price system. Therefore, the financial functions must be transformed to fit market mechanism so as to extricate itself from unnecessary financial subsidy. |
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