A Phase-By-Phase Study on China’s Transfer of Monetary Policy’s Intermediate Target Towards Interest Rate
|School||Shanghai Jiaotong University|
|Keywords||Intermediate target Poor theory Taylor rule Benchmark interest rate Interest rate corridor|
Intermediate target of monetary policy is the bridge connecting the central bank monetary policy intentions and the ultimate goal of monetary policy , the effectiveness of the intermediate target is directly related to the success or failure of the operation of monetary policy . In the context of financial liberalization and economic globalization , the effectiveness of the money supply as an intermediate target gradually weakened , countries have turned to the intermediate target interest rate . In this paper, based on the draw on the practical experience of Western countries, monetary policy , combined with the actual situation of our country , and around the feasibility of the interest rate as an intermediate target of monetary policy in China , as well as specific operation commenced adequately dealt with . Although the country has more discussion on the intermediate target of monetary policy , but domestic scholars on this issue still exist large differences . Therefore, using the stage scientific research methods , of the implementation of the 1992 reform of the socialist market economic system as a dividing line , the stages of the effectiveness of the intermediate target of the current money supply and interest rates as the intermediate target feasibility empirical research . By theoretical analysis of qualitative and quantitative empirical research , the paper argues that the money supply at this stage is not appropriate as the intermediate target of monetary policy in China , and at the same time , the interest rate on the national economy 's ability to regulate and control the growing , is the intermediate target of monetary policy than the good choice . Depth the requisite supporting the implementation of interest rate intermediate target system and conditions , and pointed out that the market benchmark interest rate system is an important foundation for the implementation of interest rate intermediate target and proposed to continue to deepen the main content of China 's market-oriented interest rate reform and measures . Finally, combined with China's actual situation , constructive propose a two-step the intermediary objectives into steps , and suggested that the central bank interest rate corridor \The comparative analysis of the intermediate target for monetary policy effectiveness , as well as the intermediate target transition steps and embodiment of China 's monetary policy operations will provide valuable policy recommendations and reference .