Abstract
In the global economic integration today, any economic turmoil will be in a very short period of time spread throughout the world. By the sub-prime mortgage crisis triggered by the 2008 US financial crisis, this will be more vividly. China's accession to the WTO, the economy has been with the global convergence, the economic crisis is bound to China's financial market to bring a turbulent. In order to stimulate China's economic recovery, the central bank to adopt a moderately easy monetary policy, a sharp increase in money supply. This paper mainly studies the influence of the increase of money supply in China after the sub-prime mortgage crisis, and explores the relationship between money supply and economic growth and inflation through quantitative and qualitative analysis. Finally, we summarize the results through the study.
Keywords
money supply reasons; exploration; economic growth; inflation
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