The Study Of The Urban-rural Dual Structure Effects Of Monetary Policy In China

Since 1984, China use the monetary policy in the process of macroeconomic regulation often pay much attention to total amount but neglect the structural effect, namely, total control, implementing non-discriminatory management, implementing a unified policies on interest rates, credit policies, rediscount system and the deposit reserve rate etc. in different region, In the past few decades, these policies have achieved good results, The reunification of the monetary policy control the total supply and demand on total amount, and contributed to the basic balance between, and ensure relying the macroeconomic objectives, However, there has also been a lot of structural contradiction. Because China is a country that have a big proportion in agricultural population and rural economy occupy an important position, the Urban-rural dual structure constitutes the basic characteristics of the economy.This paper starting from the unified monetary policy will produce different structural effects theory, analyzes the Chinese monetary policy's operations presence differences in the urban-rural dual economic structure. Articles with qualitative research methods, construct a inner frame between the relationship of the unified theory of monetary policy and urban and rural structure, analysis the inherent mechanism of the unified monetary policy effects caused by urban-rural dual structure, Investigate the reason and the reality contradictions of China's monetary policy effect of urban-rural dual structure, and with quantitative Analysis, use a large amount of historical data to VAR empirical analysis. In this paper, it use the historical data of 1989-2008 years, chose M1 as the mediator indicators of monetary policy, To find out the reasons of the monetary policy transmission channels have obstruction, chose the Urban and rural credit, at the same time, in order to rule out large differences between urban and rural population, selected the per capita income of urban and rural as economic output indicators, Analysis the reasons of the monetary policy transmission have differences in the urban-rural, through the Granger causality test and pulse function test, The empirical results show that the transmission of monetary policy on credit obvious differences, leading to monetary policy in the urban and rural areas had a non-equilibrium effects.Finally from the structural adjustment of monetary policy promote to the balanced development of urban-rural dual economic perspective, Logic to derive that the central bank should establish a operational framework combined unified monetary policy with structural differentiation of the monetary policy, through implementing monetary policy tools differentiation strategies such as the required reserves rate , sub-loan policies and rediscount as well as optimization and reformation of rural financial institutions, to achieve the balanced, stability and sustainable development between the urban and rural areas economy in China.