Study On Incoordination Between Fictitious Economy And Real Economy

Since the 1970s, under the impetus of economic globalization and liberalization tide, fictitious economy has shown an unprecedented trend of flourishing. With such structural changes in the economy, fictitious assets increasingly dominate in the process of economy development. The rapid expansion of fictitious assets leads to far more size of fictitious economy than real economy. Incoordination is shown between fictitious economy and real economy. This phenomenon has aroused great concern of theoretical and industrial circles. This paper on the study of incoordination between fictitious economy and real economy is just based on this historical background.Looking at the development history of world economy, we can see that the incoordination between fictitious economy and real economy increases the volatility and risk of economy system, the negative impact on the macroeconomic operation should not be overlooked. From great depression in the 1930s, to Japanese bubble economy in the 1990s, then to the economic crises occurred in East Asia, Russia and Latin America in the end of the last century, we can see something. From the development of global economy, the problem of incoordination between fictitious economy and real economy is becoming increasingly prominent. In recent years, the incoordination between real estate market and real economy is obvious in China. It brings huge influence to macro economy and residents'life. The author believes that the volatility of fictitious economy is the inherent basis of incoordination between fictitious economy and real economy. The incoordination between fictitious economy and real economy is caused by monetary structure distortion which the yield diffenrence between two sectors leads to. The greater the yield difference, the more serious the degree of monetary structure distortion, thus the incoordination between fictitious economy and real economy is more obvious. The typification of incoordination between fictitious economy and real economy is asset bubble.This paper first defines fictitious economy, on the basis of accurately grasping the connotation of fictitious economy, analyzes the coordination relation between two by building the model of coordination relation between fictitious economy and real economy. After this, discusses the inherent basis and mechanism of incoordination between fictitious economy and real economy. On this basis, empirically studies the incoordination between fictitious economy and real economy. At last, probes into the government intervention under the condition of incoordination of fictitious economy and real economy.