Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments 2018 erstellt
Beschreibung:
Under the framework of the Western mainstream economics, this book uses supply-and-demand relationship to build axiom system of economics, and defines the micro-expansion and macro-regulation as China model, with an attempt to decipher the China model and all micro- or macro-economic phenomena. This book argues that rationality is not the invisible hand, but a necessary condition for the formation of the invisible hand; and the market is not the invisible hand, instead, it is managed by the invisible hand; the invisible hand of the market is competition based on rationality. Competitive market is orderly and efficient, thus there is no need for government intervention. Competition is necessary for China's micro-expansion. Prices in competitive market can fluctuate, but no hyperinflation will come out. Once hyperinflation exists in the market, it means that the competition between companies and consumers on product prices and demand has failed, the competition between enterprises on product cost performance ratio has failed. Market rationality becomes uproar without competition, but the invisible hand of the market has been unable to manage the market effectively, and a market without management will suffer from bubble-bursting. A hard landing market with banks collapse, stock market crashes, company bankruptcy, unemployment and surplus product market is out of order, not to mention about efficiency. China's macro-regulation can help overheated market to have a soft landing, and restore the ability of the invisible hand to manage the market. Giffen theory of this book explains not only the microscopic phenomena of inflation and deflation, but also the necessity, possibility and universality of macro-regulation of China mode, the former lays a microscopic foundation for macroeconomics, and the latter uses the language of mainstream economics to lay a foundation for China Mode