Author(s)

Jing Ren, Shuang Guo

Corresponding Author

Jing Ren

ABSTRACT

Maintaining the balance of international payment of our country's economy is one of the four objectives of our country's macro-control, which is of great significance to the stable and normal operation of our country's economy. Therefore, this paper takes China's balance of international payments from 2000 to 2014 as the object of study, and concludes that China's balance of international payments has a large trade surplus in goods, a large direct investment surplus and a rising balance of China's foreign exchange reserves. In order to analyze the causes of these problems, this paper applies the theory of four factors that affect the imbalance of international payments, including economic cycle, national income, monetary value and economic structure, and makes an empirical analysis based on China's national conditions to draw practical and effective conclusions. Finally, the paper gives some instructive Suggestions for the problems in the balance of international payments.

KEYWORDS

International payment; trade surplus; economic cycle; national income