Analysis on the Steady Growth Effect of China’s Fiscal Policy from a Dynamic Perspective

Under the goal of a “new development pattern”, it is great practical significance to accurately identify economic growth effect fiscal and tax policies. This paper constructs TVP-FAVAR model measure effects China’s policies at aggregate structural levels. The results show that reduction in total has positive on real variables such as output consumption; especially present stage, promotion relatively strong, but stimulation price weak. Further, structure which ratio direct increases indirect decreases more conducive increase consumption, will not strongly stimulate rise level. Therefore, this China should continue vigorously implement policy ensure continuity policy. At same time, we optimize give better play regulatory role income redistribution, so achieve help build pattern” promote high-quality development.