Recently, our country'scpiappearedNegative growth, that is, the situation in which prices fall, whileCurrencyofAdditional issuanceIt's still fast. This phenomenon is contrary to what we usually think, becauseCurrencyAdditional issuanceUsually results in price increases**. In order to explain this phenomenon, this article will analyze and explain from several aspects, including:Currency circulation, consumer behavior, and goods**. At the same time, we will also consider and look forward to other reasons for the decline in prices, as well as possible scenarios in the future.
Additional issuanceofCurrencyIn the process of circulation, it does not fully flow into the hands of consumers, resulting in a significant increase in the demand for goods, so that it is impossible to drive prices**. While the increase in loan lines has been very large in recent months, the growth in personal loans has been relatively small, and most of them are long-term rather than short-term loans. Long-term loans are mainly used to buy real estate, etcLong-term investment, rather than for consumption. So, this partNew loansIt does not flow directly into the hands of consumers, and has less effect on increasing the demand for goods.
In addition, due toEconomyWith slower growth and unstable incomes, many people choose to save their money rather than spend it. As a result, consumers tend to keep rather than spend even if they have a certain amount of savings. In this case, even ifCurrency circulationmore, and it can't push prices**.
InEconomySlowing down the situation for people in the futureEconomyWorried about the situation, they are more inclined to save than to spend. Although there are certainPurchasing power, but due to uncertaintiesEconomyprospects, people choose to use money in a conservative way. This conservative consumption behavior has led to a decline in demand for goods, and prices have become difficult.
In addition, some people may also have been affected by the pandemic, lost their jobs or had a decline in income, and therefore were unable to make normal purchases. In this case, even if there is a certain amountPurchasing powerIt is also difficult to have much impact on the overall price of goods.
AlthoughCurrencyAdditional issuancebut if the amount of goods produced exceeds the demand, the price will still be difficult. WhenCurrencyPurchasing powerWhen there is not enough to buy excess goods, it is naturally difficult to buy goods. So, thoughCurrencyAdditional issuanceA certain amount, but due to overproduction, the price ** became possible.
In addition, our country in recent yearsEconomyThe structure is changing, traditional industriesOvercapacity, and the emerging industries have not yet been fully developed. In the process of adjusting the industrial structure, the first volume of some industries may exceed the demand, resulting in a decline in prices.
Overall,CurrencyAdditional issuanceThe phenomenon of falling prices in our country has indeed existed in the near future. In addition to the above reasons, there are other factors that may affect the price of goods, such as fierce market competition, unstable demand, and policiesRegulationWait. In addition,CurrencyThere is a certain lag between policy and pricesCurrencyAdditional issuanceIt may take some time to have a direct impact on prices.
In the future, we can do this by optimizingCurrencypolicies, stabilizing consumer confidence, and promoting industrial restructuring and other measures to promote price adjustment. At the same time, we also need to pay attention to the balance between consumer demand and capacity** to avoid excess capacity leading to prices**. In the context of globalization and informatization, we must also pay close attentionInternational Economysituation and policy developments, as well as with other countriesEconomylinkage relationship, so as to better respond to the challenge of falling prices.
By passingCurrencyAdditional issuanceWith the phenomenon of prices, we are able to understand betterEconomyThe law of operation, forCurrencypolicy development andEconomyDevelopment provides a reference. At the same time, it also reminds us to pay attentionFinancial policyof reasonableness andRisk control, avoidCurrencyAbuse and inappropriate expansion of policies. It is only under rational and sound control that we can achieve itEconomysustainable development and social prosperity.