Monetary policies must serve reform and quality development

AFTER THE US FEDERAL RESERVE cut its interest rate on Thursday, many central banks have followed suit. The central banks of Europe and Japan are also embracing looser monetary policies. The 21st Century Business Herald comments:

China has no reason to keep step with those countries and regions in monetary policy, as its economy is in a different situation from those of developed economies, where low inflation and precarious growth are the main concerns.

China should draw lessons from its experience in the 2008 financial crisis, when the United States was in a liquidity crisis, while it faced overcapacity caused by stimulus packages, easy-money policies and weak demand.