The Independence of the Central Bank of China1. IntroductionHow much independence does the country's central bank have? It is about whether the country's monetary policy is reasonable and scientific; if the stability of the value of the currency is guaranteed; whether the country's economy can have healthy development. The problem of central bank independence is one of the most important problems of the financial and legal development of a country. 1.1 DefinitionThe central bank is a special financial institution, which has the power (conferred by the government) to formulate and carry out monetary policy, give the national economy control and management. The central bank is the government's bank; the issuing bank; the bank of banks; the bank that controls the macroeconomy. The main difference between the central bank and commercial banks is that the purpose of the central bank is not to make profits, the purpose of the central bank is to serve the macroeconomic objectives of the country. The issue of central bank independence is how much decision-making power the central bank has in formulating and implementing monetary policy and in controlling and managing finance. The degree of independence of the central bank is determined by its legislative definition, and when the central bank uses its decision-making power, the scope of the central bank is subject to the government. In a sense, the problem of central bank independence is the problem of confirming the legal status of the central bank and the relationship between the central bank and the government. bank. During the first......middle of the document......September 2008).LanJiPing. (2008) Does international conspiracy lead to inflation in China? www.shxb.net (accessed August 29, 2008) LiuFuShou. (2004) "The EIB's view on strengthening the independence of China's central bank" Journal of Finance and Economics 6 pp.38-42 Ottmar, I. (2006) "Central Bank Independence - Economic and Political Dimensions" Journal of National Institute Economic Review 196 pp.66-76WangJiaFu and ChenXiao and LiuJing. (2001) The investigation of the relationship between the central bank and the government www.chinalawedu.com (accessed August 26, 2008)XuBing. (2007) The Ideal Objective Mode and Achievable Mode of Organization Quality of People's Bank www.lunwentianxia.com (accessed September 1, 2008)ZhuDaQi. (2006) The law confirms and realizes the independence of China's central bank. www.chinalawedu.com (accessed August 27).2008)