US-China in common: Macroeconomics of stabilization

Washington Post, Dec. 29, 2007 page D2: "Key Chinese stock index rose 97% in 2007: China's economy will keep growing but there is uncertainty about the government's macroeconomic control. China is trying to keep the fast-growing economy from igniting inflation or a debt crisis and has raised interest rates repeatedly and tightened access to credit." My comment: It is a matter of shifting aggregate demand and aggregate supply curves but gaps are bound to occur as per the Keynesian Cross Model in macroeconomics. My paper entitled "Macroeconomics of stabilization" was published by the White House Conference of Balanced Economic Growth in August 1978. However,such paper may still be useful for reference. Francis Shieh a.k.a. Xie Shihao. Dec. 29, 2007