Zhou Xiaochuan Said Structural Reform Is Also Price Reform.

Zhou Xiaochuan's first entry into economics began with mathematical models. From the perspective of various models of contact, he thought that the final structural problems and price problems were a problem, especially the structural problems arising from the supply and demand of physical objects reflected the price problem. Structural reform or structural adjustment is also a price reform and price adjustment. Zhou Xiaochuan, governor of the central bank, published this view yesterday at the annual meeting of the 50 China Economic Forum 2016.

Of course, the premise is an effective market hypothesis. Zhou Xiaochuan said that in terms of structural problems, we usually look at the problem of product structure. In the product market, the market is effective in most cases, but sometimes the price of products can not be regulated, especially for some important products. However, from a practical point of view, it is found that government led pricing is not necessarily better, and it is illustrated by an example of refined oil pricing.

"After several rounds of evolution, the pricing of our country's refined oil is, in the end, only in the end. international market Adding a buffer period to the price is a delay of 20 days, filtering out the components of high-frequency fluctuation of the price, and finally following the international market price. In short, it is hard to say that even if some important products market decides prices, they will not be able to do so. Zhou Xiaochuan said.

Because China is moving from a traditional central planned economy to a market economy, Zhou Xiaochuan believes that from the point of view of thinking, we tend to see the link between market failure and market failure. Zhou Xiaochuan said that the government should play a greater role or play a better role in the market failure. This will involve the discussion, which links will be more effective and which market segments will be invalid.

　　 Zhou Xiao Sichuan The more complex issue is factor prices. Traditionally, the price of the elements we understand is human resources, capital and land.

"I think in principle, the price is in kind. relation between supply and demand It is also established, but the situation is more complicated. These complicated factors should have some additional considerations. This also includes the interest rates and exchange rates that we are concerned about, and the relationship between supply and demand and prices. " Zhou Xiaochuan said.

Zhou Xiaochuan believes that there are many price distortions, which distort and distort these prices, to a large extent, structural reform.

Another factor that needs to emphasize structural reform, especially supply side structural reform, is the international financial crisis. Zhou Xiaochuan said that after the international financial crisis, many countries relied heavily on fiscal and monetary policies in the recovery process. In some places, the fiscal space was very small, and they were over dependent on monetary policy. Therefore, over the past two years, the international community will ponder over the problem of over reliance on monetary policy and over reliance on the Keynes doctrine. It should focus more on the supply side, and the supply side and the demand side cooperate with each other.

In addition, Zhou Xiaochuan said that under the current global economic situation, structural policies and external economic relations are significant. In the external economic issues, the important issue is the transfer of comparative advantage. With the change of price mechanism, especially the change of factor prices, the comparative advantage will shift. The transfer of comparative advantage will lead to changes in the price system, especially relative changes.