Macroeconomic management in China since 1979.

Abstract

This paper examines China’s macroeconomic management, focusing on the period from 1979 to present. We discuss the three major forms of macroeconomic management, namely, China’s Exchange Rate, and her Monetary and Fiscal policies. In each of these sections, we trace the developments to date by discussing various reform efforts. We also bring up some of the problems associated with each reform. Finally, we conclude with the theory of impossible trinity and show how it applies to China’s unique economic structure.