Effectively coordinated fiscal and monetary policy to boost demand for steady growth

Core point: Qiao Ruiqing, author of China Economic Network column, believes that economic growth is the result of effective interaction between supply and demand. At present, the rise of economic stability is more on the supply side, and the demand side is relatively lagging behind. It is worth noting that insufficient demand will in turn restrict the recovery of supply, which will affect economic growth. Therefore, the priority is to effectively boost the steady growth of demand.

my country's economy has achieved positive growth in the second quarter, the economic stability has risen obvious, but the downward pressure on the economy still exists. Data show that in July, the manufacturing procurement manager index was 49.0%, a decrease of 1.2 percentage points from the previous month, and below the critical point; the non -manufacturing business activity index was 53.8%, a decrease of 0.9 percentage points from the previous month; comprehensive PMI output The index was 52.5%, a decrease of 1.6 percentage points from last month.

Economic growth is the result of effective interaction between supply and demand. In the short term, economic growth depends on the continuous expansion of demand to increase quality, such as more consumption expenditure and more driven investment. In the long run, economic growth relies on the quality optimization of production factors, such as better labor, higher -end technology, stronger organizational ability, more efficient resource allocation methods, and so on. At present, the rise of economic stability is more on the supply side, and the demand side is relatively lagging behind. It is worth noting that insufficient demand will in turn restrict the recovery of supply, which will affect economic growth. Therefore, the priority is to effectively boost the steady growth of demand.

Fiscal and monetary policies are the main tools to boost demand. The two coordinate and cooperate with each other and work together to achieve better policy effects. It should be seen that fiscal policy focuses on guiding the increase in effective demand for society, and monetary policy focuses on maintaining stable prices and reducing social financing costs. Since the beginning of this year, fiscal policies have been very strong. Special debt, tax policies, government procurement and other measures have helped steady growth. At the same time, active fiscal policies have not led to rising prices and increased social financing costs. In the first half of the year, consumer prices across the country rose 1.7%. Among them, the first quarter rose 1.1%, and the second quarter rose 2.3%. In addition, the average interest rate of corporate loans from January to June fell to 4.32%. Why can we keep prices stable under the strong stable fiscal policy? The important reason is that monetary policy actively and accurate cooperation.

The fiscal and monetary policy is the "left and right hands" of regulating the total needs of the society, and the lack of any one cannot achieve the expected results. The fiscal and monetary policy must not only be accurate and powerful, but also cooperate with mutual promotion and effective coordination. In the first half of the year, the special debt was accelerated, driving an increase in effective investment, and more physical workloads will be formed next. In addition, the 300 billion yuan policy development financial instruments in infrastructure are also accelerating. It can be expected that the effect of stable investment will be more obvious. Whether it is issuing special bonds or implementing policy development financial instruments, the purpose is to guide social investment. Therefore, monetary policy must actively cooperate and strive to avoid rising financing costs. A few days ago, the central bank's work conference in the second half of 2022 proposed that a variety of monetary policy tools were comprehensively used to maintain reasonable liquidity; guide financial institutions to increase loans to the real economy, maintain continuous and smooth loans; guide the actual loan interest rates to decline steadily Essence This has a strong guiding effect on stable expectations, guiding social investment increases, and continuous boosting demand. (China Economic Net columnist Qiao Ruiqing)

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