GDP 6% to 16% —Mathematical Reasoning of Economic Intervening Principle Based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (II)

Abstract

RPI (Retail Price Index) is useful in understanding economic disease. By using mathematical reasoning based on Yin Yang Wu Xing Theory in Traditional Chinese Economics (TCE) , this paper demonstrates the treatment principle:"Don't have economic disease cure cure non-ill" (不治已病治未病). It means that for the RPI inflation rate of industry economic society, the normal range of theory is [0.8789%,5.2241%] nearly to [1%,5%] , and the center is 2.7047% nearly to 3%. The first or second transfer law of economic diseases changes according to the different RPI inflation rate whether in the normal range or not. Assume that the range of the RPI inflation rate is divided into four parts from small to large. Both second and third are for a healthy economy. The treating works are the prevention or treatment for a more serious relation economic disease which comes from the first transfer law. And both first and fourth are for an unhealthy economy.The treating works are the prevention or treatment for a more serious relation economic disease which comes from the second transfer law. Economic disease treatment should protect and maintain the balance of two incompatibility relations: the loving relationship and the killing relationship. As an application, the Chinese RPI inflation rate is used for the wood subsystem how to do works based on studying the sick subsystem of steady multilateral systems.