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The following article was published in our article directory on December 15, 2010.
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China to Curb Prices Have Methods

Article Category: Business

Author Name: xia zihui

In 2007, the consumer price index (CPI) rose 4.8%, China's several major policy meetings are no direct references to "food basket", the "rice bag." Just last November by the Chinese public as the price "maintenance of stability Month", the official price regulation play combination of boxing, not only the central bank to raise interest rates in November after raising the deposit reserve ratio again, and the State Council also issued 16 countries, the National Development and Reform Commission Commission within five days more in the nine bursts text. Today, prices of agricultural products around some "fever" and began to stabilize and come down, but still climbing month CPI rose to 5.1%, 28 months to hit a new high, the situation is not optimistic.

Chinese policy makers repeat grasping the "food basket", "rice bag", is undoubtedly looking forward to respond to people's livelihood and ease the anxiety of the people's livelihood. This year, China price "up" one, and agricultural products became the main character, a "garlic you vicious," "beans you play," "oil you up", "Jiang your army," "sugar Emperor," and so on, upset the expected life of the people. A leaf of customs intelligence, had the price signal is sensitive to people's livelihood, "basket", "rice bag" a people's pots and pans attached, one attached to the country's prosperity, once the instability will lead to social unrest ( crisis of the Korean people this year, remember the cabbage.) Therefore, the protection of the basic livelihood of the people "food basket", the "rice bag" stability, the Chinese government the most intuitive and extensive "people work", will be listed as "second five" first year to improve the livelihood of the people to do practical one.

Based on food prices in the current price of the structural characteristics of grasping the "food basket" and "rice bag" is also a pragmatic move for Chinese policymakers. If the guard and let the price artificially high, will cause a negative domino effect, leading to prices in other sectors have been rising. At present China, the "food" in the national living expenses account for a large proportion also to ensure an adequate supply of agricultural products, a new round of price increases on the control of great significance.

To say that Chinese agricultural price volatility is the status of the existing supply chain: to rely on the "rice bag" and "vegetable basket" provinces staple food production and supply of agricultural products at every level, China has accounted for 7% of arable land to feed 22% of the world population, food self-sufficiency rate of 95% or more, mankind has created a miracle. But with the shortage of agricultural products to supply ample, with more people obsessed with wide roads, beautiful real estate, the "basket" but in some places have gradually been forgotten by the mayor. GDP in the CD and financial income of the achievements of the impulse, the city suburbs from the "vegetables" to "kind of room", the high cost of land out of land for real estate than do business, resulting in a substantial decline in urban agricultural self-sufficiency, "shopping basket" security chain broke and divorced, became "empty basket." Ever since, when prices take a spacecraft such as, the clouds, the previous lack of funding and policy guidance to local governments to do nothing to delay the pain of obscure people. Reaffirming the decision-making, "Vegetable Basket Project", "rice bag project" is in fact in the market and local administrators warning: to count people accounts, long-term account, you can not sacrifice the people "food basket" of economic development, "basket", the "rice bag "provincial mayor in charge of the system must not be interrupted, is a permanent project, at what time can not relax.

However, 22 years ago, the "Vegetable Basket Project" and other words is the shortage of agricultural products produced in the era of words, to address the market supply. Today, the "vegetable basket" The biggest pressure is no longer a "shortage", but by the "shortage" to the "highest", with the former very different market environment. Year effective means of planned economy, and now want to continue to bear fruit in a market economy, have the upgrading, into a more rich content, both farmers, "vegetables difficult" residents "buy you" market price "over coaster, "food security" can be traced, "and so on. Production base in the government planning, collaboration, capital, technology and other essential inputs, but also must not forget the role of market in allocating resources to the basic role.

Central moves to protect the "rice bag" and "vegetable basket" is very timely, but throughout all levels of government as the importance of economic development can, like the emphasis on investment is not optimistic. Without it, after all, involved in the short term and long-term, local and all local and central, and so the adjustment range of interests, not just rice and vegetables on a single issue.

Keywords: China gifts& health care products, ENT Medicals Disposables,

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