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Typical Features of New Economy in Operation
ZHENG Xin, ZHANG Rui
Teaching and Research
2000, (11):
33-37.
The most obvious change brought about by the internet is enabling man to do away with currency and inflation. The best advantage of e-commerce is reduction of the expenses of dealing and therefore the cost of dealing. The author points out that only by introducing knowledge as a production factor into the production function can we reach a profound understanding of the virtue economy. Under circumstances of new economy, the currency market is made the major battlefield of economic activities where information assumes the role of the equivalence of currency in the currency market. And the foam, in this case, represents opportunity of trade.
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