TITLE:
An Empirical Study on the Influencing Factors and Countermeasures of Inflation in China
AUTHORS:
Shiyun Liang
KEYWORDS:
Inflation, Money Supply, External Shock, VAR Model
JOURNAL NAME:
American Journal of Industrial and Business Management,
Vol.7 No.4,
April
30,
2017
ABSTRACT: Since the outbreak of the financial
crisis in 2008, China’s money supply has been increasing in the context of
serious international monetary crisis, which had caused the problem of domestic
inflation and become a threat to China’s economic development. China’s economic
structure and development determines that domestic inflation is highly
vulnerable to external shocks. At present, the relationship between China and
the world is deepening, and economic reform is imperative. This means that the
influence of international currency, capital and commodities will have a
certain effect on China’s economy and inflation through certain transmission
mechanism. This paper mainly analyzes the influencing factors of inflation from
comprehensive domestic and external shocks in China by quantitative research, and
to reveal its main causes in order to put forward the corresponding policy
suggestions and promote the healthy development of the national economy.