March,7, standing committee member of the CPPCC, Board chairman of Tongwei Group, Mr. Liu Hanyuan was invited to talk on people.com.cn about his proposals on coupon issuance and expanding domestic demand. Mr. Liu said, China needs more stimulus plans to prevent economic downturn, which would further result in deflation. Issuing coupons to the general public will be an effective way to expand domestic demand. The issuance time of coupons could be flexibly adjusted at a standard of 1000 yuan RMB per person at a time. It could effectively accelerate consumer s confidence build-up and promote purchasing power rise. By this means, the consumption desire could be quickly turned into purchase behavior. Meanwhile, manufacturing, processing enterprises as well as job creation and tax revenue growth would also be positively affected and further form a virtuous circle.
