Treasury Macroeconomic Effects Of Theoretical Research And Empirical Analysis

Public debt's macroeconomic effect embodied in two aspects mainly ,the first is to affect the economic growth and the second is to affect the economic stability。The economists since Adam smith began to study the macroeconomic effects of the public debt . In the era of free competition , people think that issue public debt by the government will corrode the county's productive capital ,have negative effects to macroeconomics .In those days ,the mainstream opinion in the economists is that public debt's macroeconomic effect is bad . After the great depression in the 1930s ,shortage of the effective demand changed to the main reason of the macroeconomic fluctuate , Keynes maintains that the government should iron out the economic fluctuate through demand management ,and issue public debt is the best way to augment effective demand and heighten the employment level . people begin to emphasize pubic debt's positive effect to the macroeconomics such as augment effective demand and stimulate economic growth . the pubic debt policy in china has experienced the similar development path as in the western countries . Before 1980s ,public debt is restricted and prohibited in china .After 1980s ,state bonds were resumed and developed .In the middle of 1990s,the role of pubic debt in macroeconomic management have been accept gradually . people's acquaintance to public debt began to transcendence finance category, and began to concern pubic debt's coordinate impact in the macroeconomics.Public debt affect economic growth mainly by means of affect the social investment and economical resource configuration habitus . on the one hand , public debt have"the crowding out effect"to private invest ,on...