Analysis on the Effect of Active Fiscal Policy to Economic Growth in China

Under the immense shock of the international financial crisis on the real economic, Pro-active fiscal policies have been employed in China in order to achieve the goal of national economic growth, domestic demand expansion and economic structural adjustment. The paper is proceeded at the beginning of the analysis about the particular economic development stage and the current economic situation. It proves the possibility that pro-active fiscal policies in China promote the Keynesian effect in macro-economy through the comparison of practices in the USA and Japan. What's more, the paper emphasizes the push to the domestic demand and demonstrates the economic growth by the transferring mechanism between the demand and the economic growth.