Lin Li
School of Economics and Law, University of Science and Technology, Liaoning, 114051, China
Beibei Mao
School of Economics and Law, University of Science and Technology, Liaoning, 114051, China
ABSTRACT
The financial crisis triggered by the U.S. subprime crisis has shown the great harm of the excessive development of virtual economy. With the acceleration of market-oriented process, the virtual economy has also developed rapidly. When the development of fictitious economy are in well excess of the development of real economy, economic bubbles can be generated during the deviation between the fictitious and real economy. Once the ever-ballooning bubbles burst, the whole society would suffer from the breakdown of credit chain and the collapse of credit system, triggering financial crisis or economic crisis, thus jeopardize the development of real economy. Based on the comparisons of the indicators like stock index, Financial Interrelations Ratio and GDP after domestic market-oriented reform, this study has analyzed the changes of domestic fictitious and real economy, drawn lessons from both domestic and foreign researchers, explored the moderation between Chinas fictitious and real economy and proposed corresponding policies according to the real situations.
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How to cite this article
Lin Li and Beibei Mao, 2013. Analysis for the Deviation Between Domestic Fictitious and Real Economy. Journal of Applied Sciences, 13: 4312-4316.
DOI: 10.3923/jas.2013.4312.4316
URL: https://scialert.net/abstract/?doi=jas.2013.4312.4316
DOI: 10.3923/jas.2013.4312.4316
URL: https://scialert.net/abstract/?doi=jas.2013.4312.4316
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