Research on Effect of Power Price Adjustment on China´s Price Level

Power industry is one of basic industries. The rising of power price have a great effect on various industries, the electric-rate should not be priced only with the considering of the supply-side´s cost, and that it will be more important to consider the possible reaction of the demand-side´s demand to the change of electricity price. This paper computers the effects of electricity price´s change on China´s price level and economic sectors´ price level by adopting the input-output price model and input-output of China in 2002, and propose the strategy of electricity price adjustment.