Abstract
The paper attempts to analyze the crucial categories that affect the rise of the general price level. First, the relation between the rise of general price level and the monetary expansion is discussed to explain that the word "inflation" has been outdated for almost a hundred years, and that it has interfered into the study and governance of the rise of general price level. Then, a discussion is made between active monetary expansion and passive monetary expansion. This is meant to explain that the monetary policy is effective if applied to administer the rising general price level caused by active monetary expansion;but it is ineffective if applied to administer the
rising general price level caused by passive monetary expansion. As what faces modern economy is often the rise of general price level caused by passive monetary expansion, the monetary policies are often ineffective.
rising general price level caused by passive monetary expansion. As what faces modern economy is often the rise of general price level caused by passive monetary expansion, the monetary policies are often ineffective.
| Translated title of the contribution | On Crucial Categories That Affect An Analysis of Effective and the Rise of the General Price Level: Ineffective Monetary Policies |
|---|---|
| Original language | Chinese (Simplified) |
| Pages (from-to) | 65-70 |
| Number of pages | 6 |
| Journal | 教学与研究 |
| Issue number | 02 |
| Publication status | Published - 2012 |
Keywords
- the rise of the general price level
- active monetary expansion
- passive monetary expansion
- failure of monetary policy