Jia Kang, chief economist of China Institute of New Supply Economics and former director of the Institute of Fiscal Science of the Ministry of Finance, said that although the Chinese economy is still facing downward pressure, it can achieve the goals set by the government at the beginning of the year, and then it needs to continue to expand through effective investment. Domestic demand.

 

 

The latest data released by the National Bureau of Statistics shows that the GDP growth rate of the first three quarters was 6.7%, of which China's GDP grew by 6.5% in the third quarter, the lowest in more than nine years, and the growth rate of infrastructure investment did not improve under policy loosening. Both have increased concerns about the future of the Chinese economy

 

"In recent months, after the escalation of Sino-US trade frictions, uncertainty has become more and more obvious. At the moment, we do not deny that there are still market pessimism and panic mentality. For example, China’s stock market has been in a lot of time. Sensitive factors have affected the next down." On October 20, Jia Kang said at the SAIF Financial E Salon held in Shanghai and the analysis of the macroeconomic situation in the third quarter of 2018.

 

However, he believes that the economic growth target of about 6.5% this year is likely to be realized, and then push forward. By 2020, China will have to go through the two years of 2019 and 2020 to achieve the goal of building a well-off society in an all-round way. There is still considerable confidence.50 million parking spaces are big investments

 

Jia Kang said that under the conditions of openness, China should "change its passiveness and take the initiative" under the pressure of escalating trade frictions, and use its potential space to effectively expand domestic demand. He said that the space for effective investment is considerable and available. For example, in Beijing or Shanghai, from the central area, there are still many urban public transport infrastructures that must be quickly built up. It is necessary to build a rail transit network that is similar to New York and Tokyo, with sufficient density and sufficient density.

 

“A lot of things that must be solved in the entire public transportation infrastructure and urban construction seem to be small things. In fact, the total investment volume is huge. For example, there is a lack of around 50 million parking spaces in the urban center of China, Beijing, The lack of parking spaces in Shanghai is obvious to all,” he said

 

Jia Kang further said that a static investment of 100,000 parking spaces is definitely a conservative estimate, and 50 million yuan is the investment of 5 trillion yuan. "In a thousand things, has this thing been done in more than a decade? Does it directly correspond to the needs of the people's better life? Is it an operational path for the release of effective investment potential space?"

 

He said that many entrepreneurs have noticed that in the case of tight soil in large cities, high-tech development of underground multi-storey three-dimensional parking devices should be used. An entrepreneur in the Yangtze River Delta said that there is already supply capacity in this area. In the actual concrete model project, the underground five floors, the ground five floors, the farthest car is transferred to the ground for 50 seconds, in order to adapt to the needs of the people's better life.

 

"The construction of such infrastructure can fully match PPP (government and private capital cooperation). The government does not have enough money, but private capital can come in. This parking lot has a cash flow for parking, and it is quite sure to dock PPP. An important innovation mechanism for effective investment. Consumption must be supported by effective investment and good expectations, so that its potential can be brought into play, and it is easy to move towards the misunderstanding by mobilizing consumption potential.” Jia Kang said.

 

China's true urbanization rate is only 50%

 

Jia Kang stressed that in order to cope with the challenges and problems of medium and long-term uncertainty, China must pay more attention to the strategic thinking of preventing problems before it must be considered from the overall situation.

 

He pointed out in particular that China's industrialization and urbanization will have a very considerable depth of development and space in the future.

 

"Our actual industrialization evaluation, the coastal areas are in the middle and late period, and many regions in the central and western regions are in the middle and early stage. It should be said that our industrialization is in the process of transition from the medium to the middle and the later, and the future opens in depth, accompanied by China. Urbanization, and what is the true level of urbanization in China? The urbanization rate of the registered population is only 42%, and the urbanization rate of the resident population is 58%, and the data that reflects the urbanization level more accurately. Neutralization, China’s real urbanization rate is close to 50% at best,” he said.

 

Jia Kang said that according to international experience, there will be a 20-point high-speed development period of urbanization. In the process of industrialization and urbanization, China's huge market potential will continue to be manifested. This is the resilience of the Chinese economy.

 

Source from: Network