According to the Phillips curve, a trade-off exists between economic growth and control over in ation and the two can hardly be achieved at the same time in implementation of macroeconomic policy. For China’s reality...According to the Phillips curve, a trade-off exists between economic growth and control over in ation and the two can hardly be achieved at the same time in implementation of macroeconomic policy. For China’s reality, neither high unemployment nor high inflation is acceptable. China must balance the two to steer its economic growth on a stable and relatively rapid path to ensure the creation of some 10 million jobs and effectively rein in inflation. This essay analyzes these issues to answer the question of how the country can strike a healthy economic balance.展开更多
文摘According to the Phillips curve, a trade-off exists between economic growth and control over in ation and the two can hardly be achieved at the same time in implementation of macroeconomic policy. For China’s reality, neither high unemployment nor high inflation is acceptable. China must balance the two to steer its economic growth on a stable and relatively rapid path to ensure the creation of some 10 million jobs and effectively rein in inflation. This essay analyzes these issues to answer the question of how the country can strike a healthy economic balance.
