Table of Content

15 October 2012, Volume 0 Issue 10

Previous Issue    Next Issue

On the Intensity of China’s Recent Macro-Monetary Policy

LI Chong

2012, 0(10):  1575. 

Asbtract ( 146 )  

Related Articles | Metrics

During the period of 2008-2009 when there was an economic contraction in China, the central bank increased money supply and reduced interest rates heavily. This policy effectively resisted the economic recession but led to rise of asset price and became a factor to cause inflation in 2010. During the 2010-2011 inflation, the central bank decreased money supply and raised interest rates on a large scale. Though this policy helped to control inflation, it did not resolve the problem of inflation caused by cost factors, at the same time it even brought in the pressure of credit shortage and economic contraction. The practice of the macro-monetary policy in the recent years proved that there existed the problem of over-intensity of the macro-monetary policy. Therefore, China needs to establish a new rule for the macro-monetary policy, i.e. to stabilize the growth of money supply and the interest rate, and to make proper adjustment on the money supply and the interest rate according to the difference between the real growth rate of GDP and the target growth rate of GDP and the difference between the actual inflation and the target inflation.

Market Economy, Modern Civilization and European Debt Crisis: A New Explanation of the Cause of European Debt Crisis

BAI Yong-xiu

2012, 0(10):  1576. 

Asbtract ( 140 )  

Related Articles | Metrics

European Debt Crisis, in essence, results from the contradiction between the inherent characteristics of market economy and modern social civilization. It reveals the underlying problems rooted in the pattern of economic development of the European Union. For many years, the EU countries have adopted debt expansion as a way to maintain high-level fairness, yet it leads to the decrease of economic efficiency. They have raised the proportion of virtual economy as a way to maintain economic growth, yet it leads to irrational industrial structure. They have promoted social security as a way to raise the citizens’ welfare standard, yet it leads to weak awareness of social development responsibility. In order to avoid such problem as European Debt Crisis occurring in China, we need to ensure that the realization of fairness should be achieved through the increase of efficiency, that the development of virtual economy should be based on the solid foundation of the real economy, and that the realization of rights should be marched with the undertaking of responsibilities.

Market Economic System and Independent Property Right of Labor Force

YU Xian-zhong

2012, 0(10):  1577. 

Asbtract ( 152 )  

Related Articles | Metrics

The famous Coase theorem covers not only the property rights, but more importantly the human rights as the independent labor force property rights, which are a group of right bundles totally owned and freely controlled by free labors themselves with their creative abilities. It consists of five major parts: self ownership, rights to use, disposal rights, transaction rights and beneficial rights. In the context of economics, the independent labor force property rights are in fact the basic human rights contained in politics, sociology and laws. All development requirements can be restored to be the subjective rights requests for free and independent development. The degree of freedom is the extent of human liberation and a measure of social civilization. The systematical respect for and legal protection of the development rights of all the citizens are always foremost and fundamental. The content of the independent labor force property rights consists of very great development value and transformation significance.

An Empirical Analysis of the Impact of China’s Marketization Process on Income Distribution

TIAN Wei-min

2012, 0(10):  1578. 

Asbtract ( 149 )  

Related Articles | Metrics

The point of view that market economy is always accompanied with the expansion of income gap even polarization has a deep social foundation and is widely accepted in China. In practice, however, the economic surplus in the planned economy is concentrated to the state; the plan-makers tend to satisfy themselves. While in the market economy, because there are numerous producers of different types and scales, their competition in each link will lead to a more equal income distribution for the residents than that in the planned economy. The experience data during 1978-2010 indicate that the marketization has significantly narrowed the income gap, when the index of marketization rises by one percent, the Gini coefficient will be reduced by 0.1 percent. Therefore, to further promote the process of marketization is not only an important practical task in the economic restructuring, but also an inevitable requirement of narrowing the residents’ income gap.

Fiscal Encouragement, Resource Capacity and Corporate Innovation

LI Si-hui

2012, 0(10):  1579. 

Asbtract ( 129 )  

Related Articles | Metrics

By making use of the data of high-tech enterprises in Jiangsu province, this paper conducts an empirical study of the relationship between government fiscal encouragement, resource capacity and corporate innovation. The result shows that government fiscal encouragement and resource capacity have a significant positive effect on corporate innovation. Further study shows that the effect of tax reduction policies is better than that of subsidy policies, and this kind of effect is more obvious in the “state-owned enterprise group”. Therefore, to strengthen the self-competitiveness of enterprises, to adjust and improve the fiscal incentive modes and objects are effective measures to enhance the corporate innovations.

The Rationality of Special Transfer Payment: Political Logic and Empirical Test

LI Li-qin

2012, 0(10):  1580. 

Asbtract ( 169 )  

Related Articles | Metrics

The reform of the tax distribution system can strengthen the strength of the state revenue, while at the same time, it has also brought in the problems of asymmetry of property rights and powers of the local governments and regional financial differences. Then transfer payments have become the important means of the central government to balance these financial differences. However, this means dose not have the proper effect of equalization. Among them, the special transfer payments was heavily criticized but still grew steadily. The research shows that under the conditions of China’s special political and economic system, the existence of the special transfer payment has its rationality. The empirical analysis based on the urban minimum life guarantee confirms that special transfer payment can really play a role in promoting the equalization. At present, its due effect should be developed by establishing a supervision mechanism, designing a system of effectiveness evaluation, changing the examination system of local governments, and so on.

A Study of the Relationship between Dividend, Abnormal Dividend and Performance Persistence of China’s Open-Ended Equity Fund

LIU Xiang

2012, 0(10):  1581. 

Asbtract ( 148 )  

Related Articles | Metrics

This article conducts an analysis of the performance persistence of open-end equity fund based on the data of funds during 2006-2010 from the perspective of dividend and abnormal dividend. The results show that when the fund performance is good, dividend is a behavior to give return to the investors. Dividend can enhance the performance persistence rather than weaken it. So investing a fund with good past performance and dividend is a good investment strategy. Abnormal dividend will have strong negative influence on the funds with good performance and weak negative effect on the funds with bad performance. Abnormal dividend is an important marketing strategy for investing the funds with poor performance, which can relieve the redemption pressure caused by poor fund performance and increase liquid assets in the long run.

An Empirical Study of the Impact of Base Money Changes on the Performance of China’s Listed Banks

CHEN Chun-xia

2012, 0(10):  1582. 

Asbtract ( 129 )  

Related Articles | Metrics

The base money has a relatively strong effect on the money supply. During the process of deposit money creation, changes of the base money will affect the operating performance of listed banks. In order to reduce the adverse effects due to the changes of the base money and enhance the business performance of China’s listed banks, the following measures should be taken, such as optimizing the size of the banks, responding to the changes of the base money, developing the intermediary business, avoiding the direct impact of changes of the base money, and so on.

The Effect of Corporate Social Responsibility on Brand Assets: Expectation and Motivation of Consumers

XIN Jie

2012, 0(10):  1583. 

Asbtract ( 151 )  

Related Articles | Metrics

The process from the performance of corporate social responsibility, to consumer perception of the realization of corporate social responsibility, then to the establishment of brand assets, and to the undertaking of more active social responsibilities by enterprises for the demand of promoting the brand assets is a complicated one. Through questionnaire investigation of 744 valid respondents, it is confirmed that the performance of corporate social responsibility has significant positive effects on brand assets. The CSR expectation consistency of consumers partially intermediates the relation between the performance of corporate social responsibility and brand assets. Consumer perception of corporate social responsibility altruistic motivation can adjust the relationship between corporate social responsibility expectation consistency and brand assets, while consumer perception of corporate social responsibility self-regard motivation cannot adjust the relationship between corporate social responsibility expectation consistency and brand assets. Being driven by the responsibility consumption of consumers, the practice of social responsibility by enterprises is no longer only cost and constraint, rather the opportunity, core competence and the sources of competitive advantage. Both the cultivation of responsible enterprises and the cultivation of responsible consumers are equally important.

Financing Problems of Small-and Micro-Sized Enterprises and the Information Solution

LI Zhi-qiang

2012, 0(10):  1584. 

Asbtract ( 138 )  

Related Articles | Metrics

Compared with jumbo loans, the cost of loans for the small-and micro-sized enterprises is much higher and risky. The reason why such phenomenon exists is that there is the asymmetry of information received by the small-and micro-sized enterprises and by the banks. The construction of information system, especially the interconnection and intercommunication of information, can solve this problem. In this regard, Alibaba Finance has set an excellent example.

The New Trends of Commercial Real Estate: A Study of Total Value Chain Equity Investment Mode Innovation

SUN Zhe-feng

2012, 0(10):  1585. 

Asbtract ( 161 )  

Related Articles | Metrics

The development of commercial real estate has great practical significance to stimulating consumption, expanding domestic demand, boosting urbanization process, updating existing commercial facilities, promoting the steady development of the real estate industry and even the national economy. On the theoretical basis of the “Five Force Model” value chain, this paper analyzes the present operational situation of the commercial real estate and the financial barriers. From the point of expanding financing channels, it sets forth the mode of total value chain equity investment fund for commercial real estate. It makes an explanation of the practical operation process of integrating the financial resources on the value chain of the government, the general contractor of construction and the potential purchasing customers, excavating their economical value, and making use of the platform of equity fund to realize project financing value maximization of each participant. Finally, it puts forward some suggestions for the improvement of the process.

On the Effects of Public Investment on Residential Housing Price: An Analysis Based on Cross-Section Data from China’s 35 Cities

WANG Wen-jun

2012, 0(10):  1586. 

Asbtract ( 166 )  

Related Articles | Metrics

In order to study the impacting effects of government public investment on the commercial housing price, this paper constructs a model of the relationship between them on the bases of the Hedonic Pricing Model. It conducts a quantitative analysis with the cross-section data of 35 cities in China in 2010 and makes a concrete examination of the different effects of each capital variable of the public investment on the housing price. The result shows that different capital variable of the public investment has significant influence on the residential housing price and the different public investment characteristic variable has different degrees of influence on the residential housing price. The public investment has a capitalized effect on the residential housing price. The government should make appropriate public policies and real estate policies, so as to distribute reasonably this part of value capitalized into the commercial housing and to play a role of regulating the housing price.

Establishment and Improvement of Civil Compensation Protection System in the Accounting Firms of Special General Partnership

JIANG Yao-ming

2012, 0(10):  1587. 

Asbtract ( 159 )  

Related Articles | Metrics

The special general partnership is a form of organization commonly adopted by China’s large and medium-sized accounting firms. If the accounting firms with special general partnership want to become bigger and stronger so as to successfully realize their development by leaps and bounds, they must establish an appropriate security system of civil compensation, including an appropriate increase of the lower limit of the registered capital of the firms and raising the proportion of physical capital; establishing and improving the occupational risk fund and occupational insurance system; establishing the systems for firm assets retrieving and member guarantee; establishment of the system of moderate restrictions on the distribution of profits, etc..

On the Changes of Accounting Conservatism of China’s Accounting Standards and the Realization of Its Investor Protection Mechanism

CHEN Shao-hua

2012, 0(10):  1588. 

Asbtract ( 99 )  

Related Articles | Metrics

Accounting standards regulate accounting information, while accounting information protects investors via the pricing mechanism and governance mechanism. The regulations on accounting conservatism have experienced many changes since the first release of China’s accounting standards in 1992. There have been such trends as placing extra emphasis on the protection of the foreign investors, the state-owned investors and the market investors, one after another. However, due to imperfect market economic surroundings and defective supporting regulation systems, the accounting conservatism of China’s Accounting Standards has not been fully put into the accounting practice, and thus its mechanism of investor protection has only been partially achieved.