On measurement of moderate scale of Chinese foreign exchange reserve: Based on the perspective of demand motive

Based on the perspective of demand motive of foreign exchange reserve, this paper constructed the measurement model of moderate scale of foreign exchange reserve based on multi-level demand and selected the actual data of China for measurement. Results have shown that the moderate interval of China´s foreign exchange reserve was between $ 650 billion and $ 900 billion, and its excess scale was about $ 2 trillion. The excess scale of foreign exchange reserve has been increasing as the actual scale rapidly grew, with obvious dynamic consistency between them. Although moderate scale posed a trend of changing in the same orientation with actual scale and the interval of moderate scale also thereupon enlarged gradually, the increase was relatively steady.