State policy and personal investment policy for deflation

• Main Author: 張明宗
• Other Authors: 賴鈺城
• Format: Others
• Language: zh-TW
• Published: 2004
• Online Access: http://ndltd.ncl.edu.tw/handle/21875295506127506899

碩士 === 長榮大學 === 經營管理研究所 === 92 === Abstract This article is divided into two parts. First, what the government’s policy will be during economy recession. Owing to the increase of unemployment, people are excessively conservative about their consuming. Aggregate demand decrease dramatically after the consumption withers away. Thus, real estate, vehicle, and electronic markets suffer first. The decreasing demand causes surplus supply; enterprises are forced to drop in production and even lay off. Economy goes downside. At this moment, the government should adopt monetary policies in the short run, and fiscal in the long. The income and consumption will be induced by the depreciation of foreign exchange, lower interest rate, tax reduction, and subsidies. The second part of this article is to discuss the investors’ behaviors. We find that the investors with lower income have lower risk tolerance. And the education goes positive with risk aversion. Male likes risk than female. Older investors and those who have children averse risk. People in town like risk than suburb. Those who work in Hi-Tech compare to service industries like to invest riskless goods. Beyond our expectation, male are more willing to invest insurance product than female, and this may caused by the shortage of age and the harmfulness of their occupation. Students apparently have more interest to invest stock market than those work in service industries. Which result from that students usually are not married yet, therefore, their budgets are more unrestrained than those who have family. Besides, students are much more aware of new coming acknowledge and enjoy to put it into practice.