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By Wang Yiming, Zhang Chenghui, Gao Shiji, Chen Changsheng, Wu Zhengyu, Chen Daofu, Xu Wei, He Jianwu, Zhuo Xian, Zhu Hongming, Lan Zongmin & Li Chengjian Research Team on “Risk Prevention and Countermeasures during China’s Economic Transformation”, DRC

Research report No.156, 2017 (Total 5231) 2017-11-24

Abstract: China's economic development has shifted from a phase of high-speed growth to a phase of high-quality development. The economic growth is experiencing the transformation of development mode, the optimization of economic structure and the shift of growth drivers. The characteristics of the new round of economic transformation have become more evident. The economy will move towards an advanced form with more complicated division of labor and more rational structural evolution. In the course of the transformation, many kinds of risks are prone to take place and they might rear their ugly heads at one go. Viewing from the perspective of cyber economy, this paper divides economic and social system into six departments in a systematic manner, analyzes the formation, transfer and transmission channels of risks in the economic system by using the method of "sectoral balance sheet" composed of residents, enterprises, finance and government departments. If the risks of the economic system spill over, the contradictions in the social sector will become intensified. Once the tipping point is exceeded, social risks may be triggered or increased. Against the background of economic globalization, the accumulation of domestic economic and social risks will increase the vulnerability of the entire economic and social system to the external impacts.

Key words: new round of economic transformation, risks, six-department-based analysis framework