ABSTRACT
The prediction for economic trends for a given year should not be made statically or in isolation from many other factors. It should particularly take account of the periodic fluctuation of national economies. China is now in the ninth cycle of economic fluctuation. In terms of the annual growth rates of major economic indicators such as national income, gross domestic product and total industrial output value, the economic periodic fluctuation refers to fluctuation of the economy between periods of expansion and contraction. Based on the statistical data of both developed and developing countries after World War II, in order to unambiguously understand the relations between economic growth and price increase, distinguish different situations in the long-term, medium-term and short-term. Before the economic reform and at the beginning of the reform in 1985, economic fluctuation and price fluctuation in China presented a converse relationship in most years.
