The Government should be hands up for the stock market bubble squeeze

 Ten Questions of the stock market three
government should hands up for the stock market bubble squeeze?
Key issue is China's stock market education,UGG bailey button, For the A-share market valuation to determine the level of technology, the government should hands be value judgments, and what means the government should be to bubble is the ideological wars.
A-share market valuations too high? from the accounts, , price-earnings ratio, volume and other technical indicators, it does. A stock accounts, exceeded 1 million, according to the current share price of listed companies and the results for 2006, the CSI 300's still more than 40 times earnings, the market still more than 50 times price-earnings ratio .4 Shanghai month average daily trading volume for the 154.12 billion yuan, in line with the largest markets in the United States.
But the supply point of view, A-share market has not be overestimated. we all know, Chinese stock market is a relatively closed market, the typical performance is the capital and interest rates under control, the listed company does not have a withdrawal mechanism, such as Lord of the economists advocating Cheng little effect. A-share market is like a not only of the inlet outlet of the reservoir, one of the consequences caused by poor circulation, water corruption. market performance is the proliferation of fraudulent accounting and insider trading, until it is completely ruined the appetite of investors; the consequences of two water reservoirs in order to stabilize the government can control the water inflow , human capital in the market and match the number of listed companies and capital market less rhythm control, money-market and control more money, flour, dip your hands are wet, but still can not stabilize the market; the consequences of the third shell resources of listed companies who have become scarce resources, enterprise that is a few kilometers from heaven into the stock market, asset restructuring, backdoor and other methods that pays top academics, the stock market and stock funds lost by the optimal allocation of resources reflects the effect.
to China's high savings rate,UGG boots clearance, savings, after once the capital of their Big energy that we can maximize the imagination. of more than 110,000 million yuan of deposits was set aside hundreds of billions into the stock market, QFII quota to 10 billion U.S. dollars can not afford, it only shows institutional problems previously accumulated in the bear market not cleaned, re-focus on the outbreak in the bull market. to completely replace the current market means a strong public administration system of color go very far, open listing resources become popular options market,cheap UGG boots, bond market thaw, and build multi-level capital market system surgery is the root of the problem. Since the stock market problem is caused by the previous administrative control, the only way to lift the stock market crisis is the premise of strict supervision of administrative control release. Some people beg on the return of administrative means, revealing the back of the coin market Control of the true believers economy.
strong executive power of government to use the stock market is a bubble squeeze more harm than good behavior, no government could have foreseen when it was a bubble and,UGG shoes, therefore, can not grasp the opportunity to use what in what way prick the bubble. such as gold rock said, this trap dilemma for the Government, if the bubble will burst into a sinner, if not burst will become the laughing stock of history. any market economy, the best the Government can play The role is to establish order and maintain those persons.
now been raised to use fiscal measures and monetary means to puncture the bubble of such a proposal should be extra careful, because the color of money and the tax itself is full of administrative time, the use of two means of particular kinds of taxation to revert to the equivalent of the road onto the executive, questioning the legality of the tax burden will be strengthening.
Stiglitz General Council of Economic Advisers in the U.S. President had mixed feelings, the tax is an ideology , the remark means that the actual tax for the livelihood of the people and the importance of the people, a slight spark can start a prairie fire, those in power can not but be cautious. under the strict supervision of Congress, tax Shangqie often become the ruler of Waterloo, if the taxing authority grasp the hands of the main administrative body, the situation may be even more confusing. from the prosperous capital gains tax back into the prosperous and to adjust the stamp duty speculation, a strong preference for the tax revenue has made the development of the Chinese economy and terrible weapons used.
China's tax revenue is often evasive, and departments and their interpretation of the disadvantages of local government, were left to the implementation of a broad interpretation of space; but also because although the inhibition of the tax shift transactions suspected of contradictions, but it can in the short term through lower trading volume low prices, and the government financial and other resources without paying, but revenue a lot of money. Some scholars are constantly encouraged to such short-term behavior, in their eyes, the tax increase will be able to suppress all speculation, you can punish speculators, they can not unwilling to distinguish the difference between speculation and investment, more reluctant to address the desirability of tax as well as the complex relationship between the price.
more exotic proposals are introduced the policy of fear and greed control the market, which is directly related to human the enemy's argument is hilarious, if you can not control what the government should cancel the stock market. Investors do not really fear? stock index after the break through 4,000 points over sharp decline in the number of positions in operations, new accounts, in some places with sharp declines, indicating the market since rational, do without the transplant from the void.
each mature capital markets have experienced ups and downs, the key is going through after the harvest period geometry, such as the United States and Japan last century, 90 years after the collapse of the stock market bubble, the former dragon seeds harvested mm high-tech industry, which reaped fleas mm into the dark years, rooted in both the market mechanism is different, different digestion of bubbles.
the key issue now is to educate the educator so do not market access in key state-owned enterprises on the predicament and the rich are short-term goals such as blind eyes, to safeguard the interests of continued strict accordance with the Company are following the stock market came from the door; to cut the bond market sector interests to be divided; of institutional rules sensitive to the construction of the line made by Lane in for some competition for profits tax policy must be enforced vigorously; the same time, compared to more bad behavior Tang Jian aloft, gently fall, such as Hangxiao Steel.