Research On The Financial Effect Of National Debt

The national debt, as the important macroeconomic index under the market economy condition, is the double categories of fiscal and finance. The national debt possesses the characteristics of its financial assets and financial resource attribute from the day of emerging in it, just this kind of attributive character is different from the form of the behavior or intensity of economic development degree in different economic environments, the higher economic development degree is, the mare obviously the financial attributive character of the national debt is, with the development of economy, changes and expansion of government's economic management function, the scale of the national debt increases progressively too, the national debt deepens and extensive economic influence, it is just more abundant the national debt and regarded as the behavior of financial resources as the financial assets. Theory and practice have all already proved, the national debt has been checked by finance and connection with important finance, it is that government implements the important links that the fiscal policy cooperates with monetary policy with the coordination that the national debt is operated, and is contacting the economical operation of microeconomic level and macroeconomic level in its movement of circulation. Therefore, studying the effect of the national debt must combine fiscal attribute of the national debt and financial attribute together to announce the essential characteristic of the national debt.The national debt is a current close concerned thing of countries all over the world, and the realistic problem that China makes the transition in economy even more. China's economic growth and social development are due to the support of the national debt, the market-based reform of economy and financial operating mechanism improve the completion that is due to the operating mechanism of national debt. However, a lot of difficulties, contradictions and problems exist yet in the operation of the Chinese national debt at present. Its deep and inner reason is China still in the course of transforming into modern market economic system from traditional planned economic system, in this course, monetary system changes lag behind relatively, the realization of the function of economy and finance of the national debt is in the relative change, completion and development that lag behind. This kind of change, developing and improving the course, some respects have reflected the universal law that the Chinese debt of modern market economy operated, characteristic that some respects have Chinese transformation period. So, the main goal that this text studies is: through research the financial function of the national debt and national debt correctly to the variable of main economy and finance Influence and realizing the research of the mechanism in (factors such as money supply, interest rate, exchange rate, capital flow ,etc.), the system studies and explores the universal law on financial effect of the national debt under market economy terms deeply, analyze China transformation period financial characteristic that national debt operate objectively, Chinese function that national debt give play the China reform in banking system, and propose promoting financial function and valid route and tactics that give play to the effect of economy and finance of the national debt of the Chinese national debt rationally on this basis. This paper, through developing and carrying on historical investigation and analysis with the theory gradual progress characteristic to different practices of the national debt of the western at stage of economic development at first, understand and grasp the historical prerequisite of development of national debt and social economic base, investigate the train of thought of development of the western national debt in terms of history and practice, find the historical logic of development of national debt in its changes. Draw the following conclusion: The development of the national debt is the course of advancing gradually of a history, theory and development practice of the national debt concern with certain historical stage and economic state of development, demonstrate the obvious phased characteristic, the national debt reflects the willing and requirement of the government as the government policy tool, with the changes of the social economic condition, development and the changes, instead of being suitable for of the national debt, and embody its market ability characteristic progressively, the economic function of the national debt is from the financial function to its finance and double transformation of function of finance progressively, the theory that the theoretical research of the national debt is combined with the microeconomic market progressively.Through analyzed the financial assets attribute, financial resources attribute and the finance function attribute to the finance of the national debt, have carried on the exposition in the systematic economics meaning to the financial function of the national debt, point out the basic function of economy and finance that the national debt has: Resource distribution function, functions of management of risk, offering the function of liquid, function of Bench Mark, functions of management of macroeconomics, financial stability and function of regulation and control. These functions that complete national debt and market of national debt have do not isolate each other, but maintain close ties and unify and is both as the prerequisite each other, the full play of the function of economy and finance of the national debt not only needs complete market economy environment also needs corresponding and reasonable system to arrange, every financial function of the national debt is unified in dynamic gradual progress and interaction of the national debt to system of economy and finance together. The unreasonable application of the national debt can cause negative effects and influence too, increase the risks of the system finance of economy, use the national debt and market of national debt to guarantee one of the important conditions of steady development of economy and finance rationally."mintage tax"to discuss national debt, have further proved the national debt as the monetary characteristic of the financial assets and monetary effect that the national debt has. At stage on the basis of the what the national debt operates, money supply effects of the national debt are different, the factor influencing effect of money supply of the national debt is very complicated, there are economical operation and behavioral factor of the economic subject had by itself of market economy, still reflect the system of the government is arranged with the policy intention, still influencing by a great deal of respect factors such as economic environment and banking system at the same time and restriction. On the basis of it is analyzed that the basic interest rate determines the theory, include the factor of the national debt in the macroeconomic model, run for depositing money through the national debt, consumption, investment and influence analysis of money supply, obtain the national debt and operate the interest rate effect that the national debt is issued under closing the economic condition different from open economy. On the foundation of theory survey of national debt, international revenue and expenditure and interest rate relation, have discussed the reaction of national debts and international revenue and expenditure, national debts and interest rate under the open economy condition, and has analyzed the government expenditure effect of national debt financing under the fixed exchange rate and floating exchange rate system through using expanding M-F model, have concentrated on discussing that arranges interest rate mechanism and exchange rate mechanism and corresponding international conduction mechanism which makes the effect of economy and finance of the national debt in different systems.In addition, this paper has also analyzed the reaction between the policy of the national debt and financial monetary policy from the aspect of policy, the policy of the national debt is financial policy and the most important connection channel of the monetary policy and has its unique characteristic, national debt policy and financial coordination and it matches to be macroeconomic management and important content that adjust and control with must require of monetary policy. Cooperate with monetary policy and coordinate comparatively deep studying with the financial policy of financing of national debt under the open economy condition in closing economy, have put forward the principle that the policy of the national debt and financial monetary policy coordinate and cooperate and mode suitable for choosing on this basis.Analyzed that the final purpose of the theoretical research lies in seeking to make explanations to the reality of Chinese national debt development, and the theory innovation on this basis, and serve for reform and development of China's economy and finance, herein the foothold on the actual conditions of Chinese national debt development, develop the characteristic that the finance and banking is being improved constantly in the bad-tempered process and system transition environment on the basis of China's reform, the financial effect on the Chinese national debt gives the analysis of due real example, economic reaction of variable go on, measure, examine and experience analyze to 2006 Chinese national debt since the reform, draw the following conclusion: (1)The money supply effect of the Chinese national debt has not obvious phased characteristics, before 1994, because economic system and system were restricted, the monetary effect of the national debt was not prominent, because the change of the economic environment and gradual adjustment of state policies after 1994, the money supply effect of the national debt reflects, but not still very prominent to some extent, the financial function fully effective yet bringing into play of the national debt, develop the market of national debt, set up complete national debt operating mechanism, the inevitable choice of giving play to the effect of macroeconomic regulation and control of the money supply of the national debt to be Chinese national debt development. (2)Examine the real example as to the interest rate effect that the Chinese national debt is issued, the interest rate effect of the Chinese national debt is not prominent, it is analyzed that its cause lies in China's non market-oriented interest rate system and restraint of financial system development. Have also analyzed the reaction of the Chinese national debt interest rate and interest rate of financial market in terms of real example, the Chinese national debt interest rate of discussion has not become the influence factor of Bench Mark, obtaining development and completion of the market of Chinese national debt will have important function on the market-based reform of interest rate. (3)At the same time, on the basis that the theory of the relation is investigated among national debt, exchange rate, capital flow, to the international revenue and expenditure on the issue of the national debt in economic transition of China, interaction mechanism and the relation and RMB exchange rate system of net export have reformed and carried on comparatively deep discussion to the influence on the economic effect of the Chinese national debt. (4)Analyzed the application of change and the result and national debt policy in the marcoeconomic management and market-based process of reform of China's financial monetary policy since reform. The implementation of the Chinese national debt policy has played an important role in China's economic development and growth.With the gradual promotion of the economic reform in financial system, gradual implementation of the national financial strategy of financial system of the leading type of market, the capital market is especially the development of the market of national debt, as to the economic development of our country, the financial development and adjustment, optimization and importance of completion of financial system of structure. Financial promotion of reform leave national debt market financial completion of function and give play effectively, and has put forward more urgent requirement for the development of the market of national debt. The construction and development of the market of national debt has already become the key to the market-based reform of China's financial system. So, this text proceeds from Chinese national debt and functional demand of the market of national debt finally, discussion reason and influence formed of misplacing of financial function of Chinese national debt, develop with the financial system structure to the Chinese national debt on this basis, commercial bank reform and China financial angle of sustainable development prove Chinese national debt and national debt market function that give play to carry on dark reconstruct, in China financial system, the development of market of national debt of China must suit with the economic system of China improves, should absorb the successful experience of the foreign and advanced market of national debt, should be according to the actual conditions in the economic development of transition of our country at the same time, develop itself peculiar law according to national debt market, deepen national debt reform and innovation of market, speeding up the development of market of national debt, give full play to the function of economy and finance of the market of national debt, promote the efficiency of the market of national debt, in order to benefit the economic system of financial market of constructing intact and complete, coordinated development finally.