Volume 5, Issue 2, June 2020, Page: 31-48
CPI from 2% to 5%– Mathematical Reasoning of Economic Intervening Principle Based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (II)
Yingshan Zhang, School of Statistics, Faculty of Economics and Management, East China Normal University, Shanghai, P. R. China
Received: Jan. 13, 2017;       Accepted: Dec. 18, 2017;       Published: Jul. 28, 2020
DOI: 10.11648/j.hep.20200502.12      View  240      Downloads  55
Abstract
CPI (Consumer Price Index) is useful in understanding economic disease. By using mathematical reasoning based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (TCE), this paper demonstrates that for the CPI inflation rate of economic society, the normal range of theory is [1.8828%, 5.2216%] nearly to [2%, 5%] and the center is 3.2741% nearly to 3%. The first or second transfer law of economic diseases changes according to the different CPI inflation rate whether in the normal range or not. The treatment principle: “Don’t have economic disease cure cure non-ill” (不治已病治未病) is abiding by the first or second transfer law of economic diseases. Assume that the range of a CPI inflation rate is divided into four parts from small to large. Both second and third for are for a healthy economy. The treating works are the prevention or treatment for a more serious relation economic disease which comes from the first transfer law; And both first and fourth are for an unhealthy economy. The treating works are the prevention or treatment for a more serious relation economic disease which comes from the second transfer law. Economic disease treatment should protect and maintain the balance of two incompatibility relations: the loving relationship and the killing relationship. As an application, the Chinese CPI inflation rate is used for the earth subsystem how to do works based on studying the sick subsystem of steady multilateral systems.
Keywords
Traditional Chinese Economics (TCE), Yin Yang Wu Xing Theory, Steady Multilateral Systems, Incompatibility Relations, Side Effects, Economic Intervention Resistance Problem
To cite this article
Yingshan Zhang, CPI from 2% to 5%– Mathematical Reasoning of Economic Intervening Principle Based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (II), International Journal of Health Economics and Policy. Vol. 5, No. 2, 2020, pp. 31-48. doi: 10.11648/j.hep.20200502.12
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Reference
[1]
C. M. Theodore, N. I. Leonard and V. Richard (2010). “Rents have been rising, not falling, in the postwar period”. Journal of Economics and Behavioral Studies, 2010, Vol. 92, No. 3 pp: 628-642. doi: 10.1162/REST_a_00015.
[2]
I. Pauhofova and A. Qineti (2002). “The basic determinants of price development in agriculture and food industry of Slovakia”. Ekonomicky Casopis, 2002, Vol. 50, No. 2, pp: 165-181.
[3]
M. Funke, A. Mehrotra and H. Yu (2015). “Tracking Chinese CPI inflation in real time”. Empir Econ, 2015, Vol. 48, pp: 1619-1641. doi: 10.1007/s00181-014-0837-3.
[4]
A. Formica and G. Kingston (1991). “Inflation Insurance for Australian Annuitants”. Australian Journal of Management, 1991, Vol. 16, No. 2, pp: 145-163. doi: 10.1177/03128962910160020.
[5]
G. Fan, L. P. He and J. N. Hu (2009). “CPI vs. PPI: Which drives which?”. Frontiers of Economics in China, 2009, Vol. 4, Issue 3, pp: 317-334.
[6]
R. Adams (2014). “US prices for most pigments have fallen since end-2012 but CPI inflation is gathering pace”. Focus on Pigments, 2014, Vol. 2014, Issue 3, pp: 1-93. doi: 10.1016/S0969-6210(14)70096-7.
[7]
J. Hausman (1999). “Cellular Telephone, New Products, and CPI”. Journal of Business & Economic Statistics, 1999, Vol. 17, Issue 2, pp: 188-194. doi: 10.1080/07350015.1999.10524809.
[8]
D. Nahm (2015). “The Effects of New Goods and Substitution on the Korean CPI as a Measure of Cost of Living”. International Economic Journal, 2015, Vol. 29, No. 1, pp: 57-72. doi: 10.1080/10168737.2014.928894.
[9]
I. A. Moosa (1997). “Does the Chinese official CPI underestimate inflation?”. Applied Economics Letters, 1997, Vol. 4, Issue 5, pp: 301-304.
[10]
X. Zhao (2013). “Forecasting inflation in China”. Dissertation/Thesis, 2013, Carleton University (Canada).
[11]
H. D. M. Daniel (2012). “Essays in macroeconomics and international finance”. Dissertation/Thesis, 2012, University of Maryland, College Park. b Economics.
[12]
Anonymous (1999). “Czech National Bank's Inflation report for fourth quarter 1998”. Finance A Uver, 1999, Vol. 49, No. 4, pp: 189-201.
[13]
Anonymous (1999). “The Czech National Bank's Inflation Report for the first quarter 1999”. Finance A Uver, 1999, Vol. 49, No. 7, pp: 389-406.
[14]
Anonymous (1999). “The Czech National Bank's inflation report for Q2 1999”. Finance A Uver, 1999, vol. 49, No. 10, pp: 602-621.
[15]
Y. S. Zhang (1993). “Multilateral Matrix Theory”. Beijing: Chinese Statistics Press, 1993.
[16]
Y. S. Zhang (2007). “Multilateral System Theory”. http://www.mlmatrix.com, 2007.
[17]
Y. S. Zhang (2011). “Mathematical reasoning of treatment principle based on Yin Yang Wu Xing theory in traditional Chinese medicine”, Chinese Medicine, 2011, Vol. 2, No. 1, pp: 6-15. doi: 10.4236/cm.2011.21002.
[18]
Y. S. Zhang (2011). “Mathematical reasoning of treatment principle based on Yin Yang Wu Xing theory in traditional Chinese medicine (II)”, Chinese Medicine, 2011, Vol. 2, No. 4, pp: 158-170. doi: 10.4236/cm.2011.24026.
[19]
Y. S. Zhang (2012). “Mathematical reasoning of treatment principle based on the stable logic analysis model of complex systems”, Intelligent control and automation, 2012, Vol. 3, No. 1, pp: 6-15. doi: 10.4236/ica.2012.31001.
[20]
Y. S. Zhang and W. L. Shao (2012). “Image mathematics-mathematical intervening principle based on Yin Yang Wu Xing theory in traditional Chinese mathematics (I)”, Applied Mathematics, 2012, Vol. 3, No. 2, pp: 617-636. doi: 10.4236/am.2012.36096.
[21]
Z. Q. Zhang and Y. S. Zhang (2013). “Mathematical reasoning of economic intervening principle based on Yin Yang Wu Xing theory in traditional Chinese economics (I)”, Modern Economics, 2013, Vol. 4, pp: 130-144. doi: 10.4236/me.2013.42016.
[22]
N. Q. Feng, Y. H. Qiu, F. Wang, Y. S.. Zhang and S. Q. Yin (2005). “A logic analysis model about complex system's stability: enlightenment from nature”. Lecture Notes in Computer Science, 2005, Vol. 3644, pp: 828-838. doi.org/10.1007/11538059_86.
[23]
Y. S. Zhang (2017). “RPI 1% to 5%-Mathematical Reasoning of Economic Intervening Principle Based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (II)”. International Journal of Engineering and Technical Research. December 2017, Vol. 7, Issue12, pp 6-32.
Browse journals by subject