NDRC Officials: The Price Increase Of 3%-5% May Become Normal.

Although consumer prices are unlikely to continue to rise significantly at this stage, the increase will be significantly higher than in the late 90s and in the first few centuries of this century.

The price increase of 3%-5% will be this period.

First of all, our government has taken a series of measures in recent two years to promote the income of farmers and urban middle and low income groups.

Secondly, the rise of labor prices promotes the moderate rise of the general price level from two aspects of cost and demand.

At present, the price of [17.02 3.65% shares of agricultural products such as grain, vegetables, fruits and so on has risen sharply, and the comparative profits of farmers engaged in agricultural production have increased significantly.

This is the main reason why employers have to raise the wages of migrant workers.

The increase of the wages of migrant workers has effectively promoted the increase of the wages of urban laborers, thus improving the price of labor force as a whole.

In addition, the government implements the minimum wage system actively, purposefully and systematically, and strengthens the protection of laborers' interests from the aspects of labor laws and regulations, and promotes the steady increase of wages for workers. It further affects the upward trend of the total price level from two aspects of cost and demand.

Third, the current international

In addition, due to the greater pressure of environmental pollution and the further emphasis on environmental protection at home and abroad, this will also prompt rapid increase in production costs and drive up the general price level.

The author suggests that the following measures should be taken to keep prices relatively stable.

We must attach importance to the regulation of the general price level.

Proper control over the general level of price increases is absolutely necessary.

Although the general price level is running at a moderate level, the impact of the general price increase is mainly due to the substantial increase in the price of some basic necessities. Therefore, the impact is very great. We must aim at controlling the price increase, send an effective and appropriate signal to the society, and effectively guide the price expectation (that is, inflation expectation management).

Starting from the interests of enterprises, enterprises have strong desire to raise prices. As long as they have conditions, they will raise their prices as much as possible to obtain greater profits. Especially in the period of economic growth, unexpected events, and imbalance between market supply and demand, the situation of borrowing price will rise.

Some of these prices are reasonable and unreasonable, and the government should analyze and control them reasonably, especially some commodity prices which have a significant impact on the national economy and people's livelihood.

For example, essential foods, monopolistic goods and services, and resource commodities that are essential to life must be regulated.

We should attach importance to the affordability of residents, especially the middle and low income residents.

At present, the change of consumer prices is characterized by the combination of structural price increases and general price increases, mainly based on structural price increases, mainly due to the increase in the prices of essential foods and the increase in prices of monopolistic, resource-based goods and services, supplemented by a slight increase in the prices of other consumer goods and services.

Under such a price change pattern, even if the general price level of 3%-5% rises moderately, it will have a great impact on the middle and low income residents.

Therefore, while controlling the rise of the general price level, we should concentrate more efforts on increasing the affordability of the middle and low income residents to the price increase.

First of all, increase the income of residents' money, especially increase the income of the middle and low class residents.

Secondly, to increase the government's welfare expenditure, the government should bear greater responsibility for public and welfare expenditure, and not only emphasize the government's burden.

Third, we must establish a stable and effective wage growth mechanism, and impose a reasonable increase in wages and salaries in laws and regulations.

Fourth, enhance the guarantee function of social security system.

In addition, the consumer price index of low-income residents should be compiled to link the price index increase with the government subsidy, and the price increase will increase the subsidy, so as to ensure that the low-income residents do not have a significant decline in the quality of life when the price increases.

Specific targeted methods should be adopted for structural price rise.

The best measure at present is to strengthen the construction of vegetable basket and rice bag project.

In reality, the price increase in China is mainly due to structural price increases, which is mainly caused by food prices.

The prices of food, vegetables and pork rose sharply, and the consumer prices rose.

China's grain, vegetables, pork and other food prices are mainly supply problems rather than demand problems. Therefore, we cannot control the rise of prices by controlling the total demand, especially controlling the total amount of money, and we should increase the supply of specific products.

The most suitable way is to strengthen the construction of rice bags and vegetable basket projects, and earnestly implement the governor and mayor responsibility system of rice bags and vegetable baskets.

The construction of vegetable basket and rice bag project is of great significance to the price stability of big cities.

In the 90s of last century, the construction of large scale rice bags and vegetable basket projects in China was fruitful and played a crucial role in stabilizing prices.

However, due to the construction of real estate and development zones, a large number of good farmland around the city, a large reduction in the area of urban fresh vegetables, and a large reduction in grain area in the grain producing areas led to a significant decline in the supply of fresh vegetables in the city.

This is one of the important reasons for the large increase in grain and vegetable prices.

Therefore, stabilizing prices must start with vegetable basket and rice bag project.

First of all, it is necessary to expand the planting area of urban vegetables and improve the self-sufficiency rate of vegetables as much as possible.

Second, we must strengthen the construction of the wholesale and retail market of urban agricultural products and promote the circulation of agricultural products.

The government should support the construction of wholesale and retail markets for agricultural products and effectively reduce the rents and other costs of market stalls.

Under certain circumstances, subsidies should be made to specific agricultural products markets and specific farm operators to stabilize prices.

Third, to strengthen grain reserves, we should not only strengthen the grain reserves of the central government, but also strengthen the grain reserves of local governments. In particular, we need to strengthen the local reserves of large grain shortage provinces.

It is necessary to strengthen grain reserves of provincial and municipal (local) two level local governments with large grain shortage.

The provincial and Mayoral responsibility system for determining grain reserves.

Fourth, we must establish a green channel system for agricultural products in the form of laws and regulations. We should not only adopt a green channel system on expressways, but also take the necessary preferential pport system for agricultural products on railway pportation.

At present, the concentration and regionalization of agricultural products have been greatly enhanced. Long-distance pportation of vegetables, grain and other major agricultural products has become the characteristics of the current circulation of agricultural products, and pportation costs have become an important factor in driving up the price of agricultural products.

At present, the toll of expressway is higher in China, and there are many unreasonable charges in railway pportation. The profits of agricultural products such as grain and vegetables are very low, and freight accounts for a larger part of circulation.

Therefore, it is necessary to reduce pportation costs and benefit the people.

Fifth, it is necessary to encourage and guide rural farmers to directly pport grain and sell vegetables to cities for sale. They can not set obstacles or even attack cities on the grounds of rectifying the city's appearance.