By Zhang Junkuo　

Date: 2004/08/11

—Analysis on China’s domestic market in the first half of 2004

Abstract:

Investment growth rate has fallen to a normal level. However the basis for a steady economic growth remains untenable. The shortage in energy and transportation capacity does not mean tighter measures are needed. On the whole, CPI changes still fall within an acceptable and controllable range. In the short run, some micro-adjustment could be enforced under the current macro-control policies provided that it runs primarily stable. In the medium and long-term, underlying contradictions in the economy should be given more consideration for a solution.