Distinguished Professor Guo Kesha, from the School of Economics and Finance of Huaqiao University (HQU), published an article titled “The Deep Logic of Coordinating the Expansion of Domestic Demand and Deepening the Supply-side Structural Reform” in the 6th issue of Social Sciences in China 2024.

The article holds that the organic integration of expanding domestic demand and deepening supply-side structural reform will serve as a long-term, fundamental and comprehensive policy of macroeconomic control and deepening reform. The situation is determined by China’s macroeconomic control. The phased, long-term rationale of combining these two major policies is, firstly, to emphasize the long-term constraints of the demand on economic development at this stage with expansion of domestic demand representing a long-term policy. Secondly, it emphasizes the long-term needs for the integrating demand and supply management at this stage; thus, the effectiveness of aggregate policy should hinge on continuous deepening of structural policy. Thirdly, it underscores the enduring need to combine macroeconomic control with deepening reform at this stage. The innovation and improvement of macro-control should rely on the continuous promotion of reform and innovation policies, such as deepening supply-side reforms. Fourthly, the contradiction between total supply and demand at this stage may lead to financial risks; hence promoting development while preventing and controlling risks becomes an enduring requirement. China has ample room for further market-oriented reform; therefore, accelerating reforms alongside opening up can unleash the potential long-term demands, and stimulate vitality and dynamics of economic development, so as to foster the cultivation and growth of new quality productive forces.

Acclaimed by academics as the highest-level comprehensive journal in China, Social Sciences in China publishes the latest and most significant academic research findings in the field of humanities and social sciences. The publication marks Prof. Guo’s third article to be featured in Social Sciences in China over the past five years. His previous works were published in the 5th issue of 2021 and the 10th issue of 2022. This publication has greatly boosted HQU’s influence in applied economics within educational institutions.

(Editor: Wei Linying)