Economic Objectives and Policies (經濟目標和政策)

l          In Macroeconomics, I have been much influenced by John Maynard Keynes’s (1883-1946) thought, particularly regarding the role of the State through my two UK teachers, Dr. Graham Romp (University of Central England in Birmingham) and Professor G.K. Shaw (University of Buckingham). I tend to believe in Keynesian economics because it not only still works in today’s world, but also the market mechanism cannot function properly outside normal times.

l          As I said in 1999, "Markets are imperfect. By only market forces, it will take quite a long time for a recessionary economy to fully recover. When an economy is in recession, the private sector will not be able to utilise all the resources in the economy. The government should, therefore, actively stimulate the economy back to the full-employment level of output by various economic policies (at least in the short run)."

 

 

(1). Economic Objectives (經濟目標)

 

l          Macroeconomic Objectives (宏觀經濟目標)

u        (1). Full Employment (全民就業)

u        (2). Price Stability (價格穩定)

u        (3). Economic Growth (經濟增長)

u        (4). Balance of Payments (國際收支平衡)

u        (5). Regional Balance (地區性平衡)

 

l          Microeconomic Objectives (微觀經濟目標)

u        (1). Efficiency (效率)

u        (2). Equity (公平)

 

 

(2). Economic Policies (經濟政策)

 

l          Macroeconomic Policy (Short-term) [宏觀經濟政策(短期)]

u        (1). Fiscal Policy (財政政策) - Changes in government expenditure and taxation.

u        (2). Monetary Policy (貨幣政策) - Changes in money supply and interest rates.

u        (3). Wage and Price Controls (工資和價格管制)

u        (4). Balance of Payments and Exchange Rate Policies (國際收支平衡和匯率政策)

 

l          Microeconomic Policy (Long-term) [微觀經濟政策(長期)]

u        (1). Poverty and Distribution of Income (貧窮和收入分配)

u        (2). Welfare Policy (福利政策)

u        (3). Education and Training (教育和培訓)

u        (4). Privatisation and Regulation (私有化和規管)

u        (5). Active Labour Market Policy (活躍的勞力市場政策)

 

 

 

References:

l           Department of Economics: Undergraduate Courses, University of Essex, UK.

l           Greenaway, David and G.K. Shaw (2nd Edition, 1988) Macroeconomics: Theory and Policy in the UK, Blackwell.

 

Last Updated: 3 March 2005