Bai Chongen: Invest in reform, support transition costs of reform with aggressive fiscal and monetary policies.

The China Wealth Management 50 People Forum 2025 will be held in Beijing. Bai Zhongen, Chairman of the CWM50 Academic Committee and Dean of the School of Economics and Management at Tsinghua University, suggested that in the current context, in addition to investing in things and investing in people, it is also necessary to invest in reform. Bai Zhongen further explained that investing in reform means using vigorous fiscal and monetary policies to support the transitional costs of reform. "Perhaps the current environment of insufficient total demand and soft prices provides an opportunity to pay for the transitional costs of reform to achieve a better institutional arrangement in the future. Once the problem of transitional costs is solved, it paves the way for better reforms."