CCTV’s "Hot Interpretation" column noted that the meeting used a new expression — — "Make the domestic circulation based on the main force of domestic demand, and improve the quality and level of international circulation".
The main force of domestic demand — — This is a new formulation.
The economy of a big country needs a strong and resilient national economic circulation system. Smoothing the economic cycle, basing on the domestic market, coping with the uncertainty of the external environment with the certainty of its own development, and doing a good job in the domestic cycle are the active actions of taking precautions, coordinating development and safety.
"Domestic demand is the basic driving force for China’s economic development, and it is also an inevitable requirement to meet the people’s growing needs for a better life." General Secretary of the Supreme Leader’s vivid conclusion profoundly points out the importance of expanding domestic demand in stimulating China’s economic development and solving major social contradictions, and provides an action guide for formulating long-term development plans of the national economy and improving macro-control.
Expanding domestic demand is an effective and important strategy to promote economic development. The Central Economic Work Conference in 2023 anchored the new trend of China’s economic work in 2024, and upgraded the positioning of domestic demand from "basic power" to "main power", which is both necessary and feasible, with both key support and practical needs.
Dong Yu, executive vice president of Tsinghua University China Development Planning and Research Institute, pointed out in an interview with CCTV that the central economic work conference put forward the "domestic demand initiative" in the regular understanding of the "five necessities", which was based on a systematic summary of the work of expanding domestic demand for a period of time. The formulation of "main power" is reflected in the fact that domestic demand plays a greater role in pulling the domestic macro-cycle, that is, it should be the main engine of domestic economic growth. Dong Yu further explained: "With ‘ Basic power ’ Compared with the formulation of ‘ Main power ’ It is even more emphasized that domestic demand should not only play a basic supporting role in the changing situation, but also play a role in traction and development, which is completely corresponding to the role played by consumer investment in current economic growth. "
On "initiative" from the perspective of pressure
Maintaining the general balance between total supply and total demand is a prerequisite for the healthy operation of the socialist market economy. Focusing on expanding domestic demand is an important measure for the CPC Central Committee with the Supreme Leader as the core to grasp the international and domestic economic situation and promote the economic recovery of China.
Since the 18th National Congress of the Communist Party of China, General Secretary of the Supreme Leader has made a series of important expositions on expanding domestic demand from the reality of China’s economic operation, providing scientific guidance for implementing the strategy of expanding domestic demand.
The central economic work conferences held in 2021 and 2022 all pointed out the triple pressures of demand contraction, supply shock and expected weakening. At present, the situation facing China’s development is still complicated, the unfavorable factors in the international political and economic environment are increasing, and domestic cyclical and structural contradictions are superimposed.
"Insufficient effective demand, overcapacity in some industries, weak social expectations, many potential risks, blockage in the domestic macro-cycle, and rising complexity, severity and uncertainty in the external environment" … … The Central Economic Work Conference in 2023 once again faced the difficulties and challenges facing China’s economic situation.
Zhang Liqun, a researcher at the Macroeconomic Research Department of the State Council Development Research Center, said: "The main problem facing China’s economy now is the ‘ Blocking point ’ The most important thing is demand contraction. ‘ Main power ’ This new formulation further clearly emphasizes that domestic demand is of great significance for smoothing the domestic economic cycle, meeting the growing needs of more than 1.4 billion China people for a better life, and solidly promoting high-quality development. "
Expanding domestic demand is the "blocking point" to open up the economic cycle"It is the key support to consolidate the domestic basic market and build a new development pattern, and it is also the "active choice" to give full play to the advantages of China’s ultra-large-scale market. In 2023, the Central Economic Work Conference called for "earnestly enhancing the sense of responsibility and mission in doing a good job in economic work, seizing all favorable opportunities, making use of all favorable conditions, doing it as soon as possible, doing more as much as possible, and striving to cope with the uncertainty of the changing situation with the certainty of our own work"..
Look at "initiative" from the effect
On January 31, 2023, General Secretary of the Supreme Leader clearly emphasized during the second collective study in the 20th the Political Bureau of the Central Committee: "China is a super-large-scale economy, and super-large-scale economies can and must be internally recyclable."
The year 2023 is the first year to fully implement the spirit of the 20th National Congress of the Communist Party of China, and the year of economic recovery and development after three years of epidemic prevention and control in COVID-19. All localities and departments adhere to the strategic basis of expanding domestic demand, and a series of policies and measures to promote consumption and stabilize investment have continued to exert significant effects, accelerating the release of domestic demand potential and significantly enhancing the pulling effect.
On November 17th, 2023, the audience bought trinkets at china international travel mart 2023.
Statistics from the National Bureau of Statistics show that in the first three quarters, the contribution rate of China’s domestic demand to economic growth increased to 113%, of which the contribution rate of final consumption expenditure to economic growth reached 83.2%, effectively offsetting the pressure of shrinking external demand and playing the role of "booster" and "stabilizer" for the overall economic recovery.
Promote the economic recovery, and the domestic market engine continues to exert its strength. The National Development and Reform Commission issued measures to restore and expand consumption, and the Ministry of Commerce and other ministries and commissions issued several measures to promote household consumption. From consumption boosting year to consumption promotion month to international consumption season and golden autumn shopping festival … … In 2023, policies to promote consumption have been implemented one after another, and consumption activities have been continuously promoted. The quality and level of supply in the consumer market have been continuously improved, and the consumption potential has been accelerated.
See "initiative" from deployment
"China’s population of more than 1.4 billion has entered a modern society as a whole, and its scale exceeds the total population of existing developed countries. Its arduousness and complexity are unprecedented, and we must firmly grasp the leading role of development in our own hands.."
In 2023, the Central Economic Work Conference emphasized that it is necessary to stimulate potential consumption, expand effective investment, and form a virtuous circle in which consumption and investment promote each other, and "focusing on expanding domestic demand" was regarded as one of the nine key tasks of China’s economic work in 2024, with special emphasis on "promoting consumption from post-epidemic recovery to continuous expansion" and "giving full play to the driving amplification effect of government investment", which means that expanding domestic demand remains the focus and key of economic work in 2024.
Xu Hongcai, deputy director of the Economic Policy Committee of China Policy Science Research Association, said that it is necessary to give play to the key role of investment and the basic role of consumption in the expansion, so that investment and consumption can form a dynamic new balance at a higher level and further accumulate the momentum of sustainable economic development.
What is potential consumption? What is a profitable investment? In what areas do you need to "take the initiative"? The Central Economic Work Conference laid emphasis on related fields.
From the Outline of the Strategic Plan for Expanding Domestic Demand (2022— From "2035)" to "the implementation plan of the strategy of expanding domestic demand in the 14 th Five-Year Plan", the state has always adhered to the strategy of expanding domestic demand at the policy level.
Dong Wei suggested that the next step to implement the spirit of the Central Economic Work Conference in 2023 can focus on how to form a virtuous circle of mutual promotion between consumption and investment, that is, to find the combination of the two, key national support areas and support policies.
Zhang Liqun said that to expand domestic demand, we must focus on the positive interaction between investment and consumption, and grasp the starting point of various policies. Consumption is the goal and investment is the means. Only investment can form high-quality supply, better employment, increase residents’ income and form consumption purchasing power.
In the next stage, insisting on doing a good job in expanding domestic demand will certainly accumulate stronger development momentum, boost Chinese modernization and promote economic stability and long-term development.