Improvement of China's Money Supply Index from the Perspective of Divisia Money

With rapid development of Chinese capital market,there are more and more financial instruments on open security markets,which will certainly affect the qualification taking money supply as intermediate target.The introduction of Divsia Money,a more practical method,to calculate the growth rate of money supply,can effectively improve current index system on money supply in China.Taken money supply as intermediate target,the growth rate of RWMS weighted money supply it is a possible choice for China.