Now the economic crisis, the government can use economic leverage to stimulate economic growth; When the economy is overheated, we should use economic leverage to cool the economy and make it develop healthily and harmoniously.

1, tax rate

Reducing the tax rate, on the one hand, saves the cost of enterprises and reduces the cost of goods, on the other hand, enables enterprises to retain more funds for investment and consumption, thus promoting economic recovery.

2. Loan interest rate

The reduction of loan interest rate can enable enterprises to expand the scale of loans, thus expanding the scale of investment and consumption. But the loan interest rate depends on the benchmark interest rate, so strictly speaking, the loan interest rate is not an economic lever, but the performance or effect of one of the economic levers (benchmark interest rate).

3. Deposit reserve ratio

Reducing the deposit reserve ratio will enable banks to increase loans, put more funds into the market and expand social investment and consumption. According to the banking law, a certain percentage (for example, 8%) of deposits absorbed by banks should be deposited in the central bank, and the rest of the money can be lent out. If this ratio is reduced, the bank can increase the loan amount by n times the reduction ratio of the deposit reserve ratio (it is a long story, you are not allowed to play, you can only obey here).

Economic leverage also includes open market operation, public expenditure, benchmark interest rate, exchange rate and minimum wage. . .