The economic policy should be formulated during the epidemic,
- Author:Cona
- Source:Search
- Release Date:2020-03-15
The meeting of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee today clearly called for the effective maintenance of normal economic and social order. StrengtheningepidemicWhile preventing and controlling, we strive to keep our production and life stable and orderly. As a result, a battle against epidemics in the economic world has begun.
Economist Wang Xiaolu, deputy director of the National Economic Research Institute, proposed that consideration should be given to the possibility of corporate closure and unemployment, and research on buffer measures. What is needed now is a policy to solve the problem, not a stimulus policy. Large-scale water release, large-scale investment, and economic growth will deviate from the goal of solving difficulties and have endless problems.
The folk are known as "Do not save the poor"In the current context, what is" emergency "? For example, employees on vacation cannot currently go to work, production cannot return to normal, but wages must be paid and rent and bank interest must be paid. Under the circumstances, increasing short-term liquidity is "emergency."
What needs to be vigilant is that we should not loose monetary currency without distinction. We should be cautious about the option of increasing medium- and long-term loans. Don't let water encourage inefficient investment. "Emergency" means to specifically alleviate the urgent problems faced by ordinary people and enterprises. If the "flooding flood", regardless of fiscal or monetary policies, eventually leads to the old road of "real estate rescue", then we must be alert Already.
It should be acknowledged that the main responsibility for coping with difficult times lies with the government, especially local governments at all levels. At a macro level, we are happy that the government hasSMEsReaching out, Beishang, Guangzhou, Shenzhen and other first-tier cities responded quickly and introduced a series of support policies, such as Guangdong exempting small and medium-sized enterprises from 5 months of social insurance premiums, halving the collection of 3 months of social insurance premiums from large enterprises and so on.
Then the question comes: the government needs to spend money, hospital treatment, community protection and other expenses are huge, but the economy is facing difficulties, fiscal revenue will decline, what to do with the expanded deficit? This involves transforming government functions.
First, the key for the government to do now is to reduce the burden on enterprises, not to expand government investment. We must realize that the government is no longer the main investment body, and the market is the main body. The government can choose not to invest, including infrastructure projects, and it is advisable to use the PPP model for investment and operation by market players.
Second, for reducing and exempting the gap caused by corporate social security contributions, the use of state-owned capital to supplement social security funds should be adopted, and the leverage of the securities market should be fully utilized, which is more efficient than direct funding from the central or local governments to fill the gap.
Third, it is necessary to reduce unnecessary government expenditures and suppress excessive administrative expenses and other unnecessary expenditures. Of course, it is difficult to go from luxury to frugality. However, at the moment of the epidemic, the government must tighten its waistband and set an example for overcoming difficulties.
Fourth, some scholars have suggested that the company ’s production losses in the first quarter,governmentOne-third of the burden, one-third of the enterprise, and one-third of the staff. Such a proposal to share the losses between the parties is both realistic and necessary, but the share of the share is open to discussion. Urgent measures should be introduced in this regard, such as allowing enterprises to pay basic living expenses to quarantined persons on the job, which requires a flexible interpretation of the Labor Law.
In addition, with regard to the difficulty of returning to work, the local government must help, take responsibility, and work with enterprises to strategically respond to the recurrence of the epidemic caused by the return to work. Never put pressure on the company.
Government governance is the core of social governance modernization. Government administration has both economic construction functions and public service functions. With the development of modernization, public service functions in administration will become more prominent and become the main part. Then, the strategic goal of building a service-oriented government is the main current and future directions.
To overcome the difficulties is to work together,Government brave to reform, Take the initiative to take responsibility and change functions, then the problems of business operation, residents' income, consumption and economic growth will be improved.
Economist Wang Xiaolu, deputy director of the National Economic Research Institute, proposed that consideration should be given to the possibility of corporate closure and unemployment, and research on buffer measures. What is needed now is a policy to solve the problem, not a stimulus policy. Large-scale water release, large-scale investment, and economic growth will deviate from the goal of solving difficulties and have endless problems.
The folk are known as "Do not save the poor"In the current context, what is" emergency "? For example, employees on vacation cannot currently go to work, production cannot return to normal, but wages must be paid and rent and bank interest must be paid. Under the circumstances, increasing short-term liquidity is "emergency."
What needs to be vigilant is that we should not loose monetary currency without distinction. We should be cautious about the option of increasing medium- and long-term loans. Don't let water encourage inefficient investment. "Emergency" means to specifically alleviate the urgent problems faced by ordinary people and enterprises. If the "flooding flood", regardless of fiscal or monetary policies, eventually leads to the old road of "real estate rescue", then we must be alert Already.
It should be acknowledged that the main responsibility for coping with difficult times lies with the government, especially local governments at all levels. At a macro level, we are happy that the government hasSMEsReaching out, Beishang, Guangzhou, Shenzhen and other first-tier cities responded quickly and introduced a series of support policies, such as Guangdong exempting small and medium-sized enterprises from 5 months of social insurance premiums, halving the collection of 3 months of social insurance premiums from large enterprises and so on.
Then the question comes: the government needs to spend money, hospital treatment, community protection and other expenses are huge, but the economy is facing difficulties, fiscal revenue will decline, what to do with the expanded deficit? This involves transforming government functions.
First, the key for the government to do now is to reduce the burden on enterprises, not to expand government investment. We must realize that the government is no longer the main investment body, and the market is the main body. The government can choose not to invest, including infrastructure projects, and it is advisable to use the PPP model for investment and operation by market players.
Second, for reducing and exempting the gap caused by corporate social security contributions, the use of state-owned capital to supplement social security funds should be adopted, and the leverage of the securities market should be fully utilized, which is more efficient than direct funding from the central or local governments to fill the gap.
Third, it is necessary to reduce unnecessary government expenditures and suppress excessive administrative expenses and other unnecessary expenditures. Of course, it is difficult to go from luxury to frugality. However, at the moment of the epidemic, the government must tighten its waistband and set an example for overcoming difficulties.
Fourth, some scholars have suggested that the company ’s production losses in the first quarter,governmentOne-third of the burden, one-third of the enterprise, and one-third of the staff. Such a proposal to share the losses between the parties is both realistic and necessary, but the share of the share is open to discussion. Urgent measures should be introduced in this regard, such as allowing enterprises to pay basic living expenses to quarantined persons on the job, which requires a flexible interpretation of the Labor Law.
In addition, with regard to the difficulty of returning to work, the local government must help, take responsibility, and work with enterprises to strategically respond to the recurrence of the epidemic caused by the return to work. Never put pressure on the company.
Government governance is the core of social governance modernization. Government administration has both economic construction functions and public service functions. With the development of modernization, public service functions in administration will become more prominent and become the main part. Then, the strategic goal of building a service-oriented government is the main current and future directions.
To overcome the difficulties is to work together,Government brave to reform, Take the initiative to take responsibility and change functions, then the problems of business operation, residents' income, consumption and economic growth will be improved.