The Political Economic Research Of Opening The Capital Account In China

With the accelerating of economic globalization and deepening reform of ourcountry, the capital account opening is increasingly taken seriously. The capitalaccount liberalization is promoted by many factors since our country had liberatedcurrent account. The financial liberalization theory claims that the capital accountliberalization would accelerate the perfection of finance system and economy growth,although many countries, which regard this theory as direction, had experiencedserious economic crisis repeatedly. Most of scholars discuss this issue with financialtheory, which was almost plagiarized from the neoliberalism, and despite the nationaleconomic safety and economic benefit.The author researches the connotations between current account and capitalaccount with historical materialism, then according to currency reflow law analysesthe government allowed capital in and out the country free has negative influence onsocial reproduction. The production category and consumption category have to obeythe law: Ⅰ（v+m）=Ⅱ c,but foreign capital flows in developing countries mustbreaks the balance and the national distribution of resource. The essential principle ofcapital account liberalization is maintaining national economic safety and economicbenefit. Secondly, the author analyses the financial liberalization theory critically, andindicates that many scholars were affected by this theory, which lead our governmentto liberate the capital account. Thirdly, the paper takes the financial crisis SoutheastAsia and the economy recession of Mexico as instances, which expounds the financialliberalization cannot be found realistically but push the economy of developingcountries into chaos. Then takes the developed countries liberate capital accountcautiously and the Eurogroup sets many regulations on capital flow as instances,which suggests that the capital account liberalization is related to economic strength.At last, the author explains that although we cannot deal with foreign capital perfect ifabolish the regular of capital account immediately, we may not stand still and refuseto make progress. We should observe that the capital account liberalization hasstrategic meaning for our country and satisfy the requirements actively, achievingcapital account liberalization finally.