The root cause of China's economic problems lies not only in the economy itself, but also in a lack of trust and transparency. The upturn in economic data does not fully reflect the actual micro feelings, and the effect of economic stimulus is gradually weakening. These contradictions stem from information asymmetry and lack of trust. In order to integrate into the world economy, China has also established a national database of court judgments to meet the requirements of openness and transparency. Such an open and transparent environment of the rule of law can bring trust to economic and financial exchanges, which are at the heart of global economic and financial exchanges. For example, Singapore has earned the trust of Western countries and become an international financial center by establishing an open and transparent rule of law environment and reforming the International Commercial Court. Therefore, the solution of China's economic problems needs to pay more attention to trust-building and openness and transparency.
The private economy plays an important role in China's economy, contributing greatly to the country's tax revenue, GDP, technological innovation, employment, and the number of market entities. The high efficiency and marketization of the private economy have enabled various industries to develop more rapidly and prosperously, such as Huawei. However, in recent years, some Internet celebrities have carried out stigmatizing attacks on private capital, which has brought trouble to private entrepreneurs. But the impact of this attack on private entrepreneurs is actually limited, because they are not the customer group of private enterprises, so what really worries private entrepreneurs is the attitude behind this rhetoric. In order to solve the dilemma of private entrepreneurs, we must not just educate them, but understand what they really need. Only by meeting the needs of private entrepreneurs can we better motivate them to invest, expand employment, and raise workers' wages, thereby driving economic development.
Boosting residents' confidence and expanding consumption is an important means to boost economic development, and in the past, we have enacted many policies to achieve this goal. However, the results were not ideal, and there was a gap between the macroeconomic data and the micro feelings. The root cause of this problem lies in the adjustment of the allocation of resources. While current policies and data have performed well in some emerging industries, only a few industries and groups have actually benefited from them. Many people have not shared in the fruits of economic development. Therefore, when solving the problems of consumption, residents' confidence and micro feelings, distribution adjustment is the key. Only when the broad masses of ordinary people can fully enjoy the fruits of economic development can we truly solve this seemingly beautiful phenomenon but in fact only a few areas are involved. Otherwise, even a large number of policy measures will not be able to achieve the desired results. Therefore, the current economic problem is not at all the economy itself, but the problem of distributive adjustment.
To sum up, the essence of China's economic problems lies not in the economy itself, but in the lack of trust and transparency, the plight of the private economy, and the adjustment of resource allocation. In the face of these problems, stimulus at the economic level may not be sufficient. On the contrary, we need to pay more attention to trust-building, openness and transparency, while solving the plight of private entrepreneurs and rationally allocating resources. Only in this way will we be able to truly solve the current economic problems and achieve economic breakthrough and sustainable development.