China's Monetary Policy And The Distribution Of Labor And Capital

In recent years Chinese income distribution imbalance problem more and more close attention from all walks of life.From 1978 to GDP related data in 2016,China's total GDP has increased from 367 billion 800 million in 1978 to 74 trillion and 412 billion 720 million in 2016,China's per capita GDP increased from 2016 to 1978 of 385 yuan to 53816.58 yuan.But since 2003,China's labor compensation share of GDP has remained at 0.5 below the level of China's Gini coefficient has been greater than the countries to be alert to level 0.4.from the above data although the level of economic development of our country has been increasing,but significant income distribution imbalance is always exist.This problem is not conducive to the economic structure Chinese successful transformation but also affect the stability and development of Chinese economy.Therefore,the imminent research to solve the problem.However,in order to solve the problem of uneven distribution of income,will This fundamental point from the study of income distribution factors.Most scholars think that the income distribution is mainly affected by the economic growth and fiscal policy,for the study of income distribution mainly focused on the economic,industrial structure,fiscal policy,and often ignore the effects of monetary factors.The domestic scholars mainly focus on monetary policy the study of monetary policy is conducive to full employment,whether to increase investment,improve the level of output and price level.There are few scholars studying the relationship between monetary policy and income distribution.The income distribution mainly from the angle of labor income distribution research.Monetary policy is an important means of national macro-control,to promote economic growth which plays an important role in adjusting the income structure.Clear monetary policy affect the mechanism of labor income distribution,clarify the two The relationship will help the central bank to formulate a more adaptive,targeted and rational monetary policy in line with the current situation of China's income distribution.This paper first gives a brief analysis of the background and significance of the study,analysis results show that China income inequality is a serious problem,the problem of unfair income distribution China seriously hinder the economic and social development,so this problem is worth studying.Secondly,domestic and foreign related research literature and theoretical results were reviewed,the foreign scholars provide is the reference of the research methods in China,domestic scholars generally believe that expansionary monetary policy will lead to decline in the share of labor income,the income distribution is more unfair.Then through theoretical analysis,theoretical analysis that a negative correlation between the money supply and the share of labor income,which increases the money supply loose monetary policy the amount of the decline in the share of labor income,leads to unfair distribution of income.After each variable ADF test,cointegration test,autocorrelation The empirical analysis through the establishment of time series model based on the test.The empirical results of the analysis show that the money supply and the share of labor income is negatively correlated,the results are consistent with the theoretical analysis.The conclusion that should solve the problem of income distribution from the perspective of monetary policy change,reducing the money supply in the basis of the original expansion on and implement a prudent monetary policy.Finally,put forward the following suggestions:monetary policy should promote the "efficiency" and "fairness";strengthen monetary policy in the national income distribution and redistribution of action;the central bank to increase efforts to control the money supply;monetary policy and other policy of"two pronged";establish long-term the strategic target.The main innovation of this paper lies in the following aspects:on the basis of previous research on the income distribution between the monetary policy and the links for further analysis;time series model is established taking into account the monetary policy has time for the impact of labor income distribution lag;combined Chinese conditions on monetary policy and income distribution mechanism for further analysis.The deficiencies of this paper lies in the following two aspects:due to the data availability,factors set may be slightly biased;due to space limitations,the control variable is not too much research and analysis.