The Research On Reasons And Strategies Of China’s Inflation In Recent Years

The consumer price index (CPI) which has closely link to people life andconsumption,direct response inflation degree has become China’s most popular digitalsince2007.Since2008, the governments and central banks all over the world to copewith the impact of the global economic crisis and issues, they take all sorts ofeconomic stimulus policy, and, to some extent, stop the deterioration of the economicsituation, speed up the steps of the global economic recovery, but at the same time alsoled to the countries of the inflation risk increase. China is not only a monolith on theworld stage but also one of Asia’s most dynamic economies. China has this problemlike other countries. Since2010, by multiple factors influence at home and abroad,China’s agricultural products mainly to the necessaries of life for the price rise faster,the consumer price index rising from month to month, inflation expectations increase,inflation pressures, people living have been affected. Therefore, how to recognize andeffective prevention and cure inflation, to promote China’s continued economic, health,stable and rapid development, and has the important practical significance.This paper based on the background and spread of further research. The Marxisteconomics guide practice as a foundation. The methods are the combination ofquantitative analysis and qualitative analysis, and induction research. With Chinacurrently happening inflation as the research object, the Chinese inflation of the causesfor the occurrence of system analysis, and put forward the correspondingcountermeasures. First of all, combed the inflation related theory. Marx use thescientific labor value theory, to investigate and to reveal the monetary amount, themarket price and the market demand and market price level of inner link, system andcomprehensive expounds the basic idea of modern inflation. As a Keynesian schooland monetary school leaders Keynes and Friedman proposed inflation theory andcontrol measures are still used by other countries. It has a guiding significance for ourcountry’s inflation research. Second, review the history, study the present situation and the causes of inflation. The current inflation has complex causes. Based on the westerneconomists’ inflation theory, the causes of our country’s inflation are currency, supply,demand and structure factors. Finally, based on Marx’s theory of inflation, it mustfollow the law of money circulation and develop production. This paper from China’sactual conditions, aiming at China, inflation is currently the causes of thecorresponding countermeasures. Such as control of the money supply, establish astable price of long-term mechanism, optimize economic structure, expandingdomestic demand, combined financial policy and monetary policy. Stable currentinflation situation and prepare for the next round of inflation.