Financialisation of goods in China. Issue 1 (2nd January 2017)

• Record Type: Journal Article
• Authors: Liu, Zehao
• Is Part Of: Economic and political studies. Volume 5:Issue 1(2017)
• Page Start: 87
• Page End: 105
• Publication Date: 2017-01-02
• Subjects: Goods financialisation -- financial awareness -- investment -- inflation; China -- Economic conditions -- Periodicals; China -- Politics and government -- Periodicals; Economic history; Politics and government; China; Electronic journals; Periodicals; 330
• DOI: 10.1080/20954816.2016.1274521
• Languages: English
• ISSNs: 2095-4816

Abstract

Abstract: This paper analyses price fluctuations of common goods in China. There are two types of fluctuation patterns in the underlying prices: the pattern of persistent and modest rises and the pattern of abrupt rises followed by dramatic falls. The analysis reveals that these two fluctuation patterns are related to a growing phenomenon of goods financialisation in China. This paper uses time series data to show that goods financialisation in China is indeed under its way to various levels, which renders different dynamic effects on consumer price inflation. The findings also have implications for making macroeconomic policies.