interest." Looking forward to the future, Yang Jinlong believes that the central bank will continue to tighten steadily. Of course, monetary policy and tightening tools, in addition to interest rates, also have selective credit controls. As for the continuation of the Russian-Ukrainian war, the oil price will remain at $108. 200 US dollars, or a sharp drop, the government will focus on the supply-side factors of energy prices and cause prices to rise, and must use supply-side means to deal with it, such as the current government’s excise tax, tariff, business tax, and oil, water and electricity price adjustment mechanism , electricity price stabilization mechanism, etc., is the means of supply side.
Yang Jinlong said: "If we only rely on raising interest rates and only by means of the demand side, it will be more difficult to suppress inflation, unless inflation is due to high domestic consumer demand after the unblocking, and the prices of imported consumer goods have risen sharply, such as in the United States." The demand side in whatsapp list Taiwan is actually not very strong. The consumption growth is better than last year because of the base period (note: last year was a negative number), of course this year is good, and the other is the revitalization of consumption, everyone has been spending all the time, so the interest rate hike reflects imported inflation .
Yang Jinlong emphasized that the Taiwan dollar has not only been strong since 2020. In fact, since 2017, the Taiwan dollar has been strengthening against the US dollar. Therefore, it is necessary to emphasize again that the exchange rate of the Taiwan dollar is related to the supply and demand of the foreign exchange market, and the market supply and demand is related to the movement of funds. Therefore, because Taiwan's exports were strong, the Taiwan dollar was strong; , but this may be a short-lived phenomenon, unless there is instability in the market, will provide trust liquidity, but in principle will not affect the price. "A promotion will make him rise, and a fall will make him fall. We just provide liquidity."