ANBOUND: The Real Economy "Financialization" Is an Adverse Selection of Regulatory Policy
ANBOUND
The cooper financing was suppressed by the State Administration of Foreign Exchange since last May, meanwhile the iron ore has taken the place as a new financing instrument and has been persistently growing. ANBOUND think tank scholars believe that the rising of iron ore financing reflects the credit risks and financing difficulties are imbalanced in the economic system. Thus, the regulators need to systematically adjust its regulatory policies based on the entire financial system. The monetary policy needs to be structurally inclined meanwhile the regulatory target of overall money supply also needs a proper fine-tuning.