Modern Monetary Banking

Author: Rao Yuqing
Publisher:
Publish Date: 1983-10-01
Features: While China is advancing its four modernization campaigns, the banking system is also undergoing reforms, and economists are actively discussing how to fully leverage the role of banks in the national economy. The chapters 2 to 5 of this book discuss the operations and functions of the central bank, commercial banks, specialized banks, and other financial institutions, which are expected to be of great help to readers in understanding the contributions of banks to the modernization efforts. Chapters 8 and 9 cover the causes and countermeasures of inflation and the relationship between finance and economic development, which are highly concerned issues for all developing countries (including China). As for chapters 3 and 4, they introduce the basics of money, credit, and international finance, which are essential for finance professionals. It must be admitted that certain aspects of modern monetary theory introduced in chapters 6 and 7 do not fully align with China's national conditions. However, there are no borders in academia. Knowledge and experience beneficial to China should be actively introduced and absorbed, even if theories and doctrines that China cannot accept, we may still discuss them in the spirit of "truth emerges from debate." Due to the introductory nature of this book, it is impossible to provide in-depth and detailed analyses of all related issues. Moreover, due to space and time constraints, topics currently debated in overseas economics circles, such as "rational expectations" and "supply-side economics," are also briefly omitted. To facilitate further research, reference books are provided at the end of each chapter, which may slightly compensate for the shortcomings of the main text. As for more technical topics, they are discussed in the appendix.