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Economics Research International
Volume 2011 (2011), Article ID 492325, 11 pages
http://dx.doi.org/10.1155/2011/492325
Research Article

Effects of Chinese Economic Stimulus Package on Economic Growth in the Post-Crisis China

1Graduate University of Chinese Academy of Sciences, No. 19 A, Yuquan Road, Shijingshan District, Beijing 100049, China
2Research Center on Fictitious Economy and Date Science, Chinese Academy of Sciences, No. 80, Zhongguancun East Road, Haidian District, Beijing 100190, China

Received 28 April 2011; Accepted 8 June 2011

Academic Editor: James R. Barth

Copyright © 2011 Shenglv Zhou et al. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

This paper aims to simulate the contribution of investment expansion policy after financial crisis as well as describe the possible economic perspectives in the post-crisis period by using scenario simulation method based on Chinese dynamic economic CGE (computable general equilibrium) model. Energy consumption and CO2 emission are also considered in order to access the possible negative effects owing to investment enlargement. The results show that expanding investment response to financial crisis increases economic growth rate by 6.74% from 2.36% in 2009. It can relieve the fluctuation in economy and bring the economic growth close to baseline level in the near post-crisis period. However, higher energy consumption intensity and CO2 emission intensity compared to baseline owing to the increasing investment make energy saving and CO2 mitigation more difficult.