TITLE:
Applicability of Negative Interest Rate Policy under China’s New Normal—Based on the Comparison of European Negative Interest Rate Policy
AUTHORS:
Lixian Ye
KEYWORDS:
New Normal, Nominal Negative Interest Rate, Actual Negative Interest Rate, Comparison between China and Europe
JOURNAL NAME:
Modern Economy,
Vol.9 No.11,
November
13,
2018
ABSTRACT: The Chinese economy has entered a new normal,
superimposing the impact of the trade war. The financial support of Chinese
commercial banks for small and medium-sized enterprises is still insufficient,
leading to the problem of financing difficulties for small and medium-sized
enterprises and the poor transmission of monetary policy. In order to study how
to promote Chinese commercial banks to follow the monetary policy orientation,
increase financial support for small and medium-sized enterprises, and promote
the transformation of economic development, this paper uses a comparative
analysis method, through the comparative analysis of the economic environment
of China and the EU. The author
believes that the negative nominal interest rate policy of the euro zone
countries can be of reference to China and can have a positive economic impact.