First, expand the financing channels of the central government and local governments, realize the matching of government revenue and expenditure, and cannot overestimate the affordability of foreign debts and local government liabilities. The essential reason of the European debt crisis is the default risk caused by the government's debt burden exceeding its own capacity. China should strengthen local government budget management by legislation as soon as possible, enhance transparency, reasonably control the scale of government debt and strengthen risk management. It is also necessary to conduct a comprehensive inventory and evaluation of the overall national finance and debt situation in a timely manner, conduct quota management and risk early warning on the scale of local government debt, and effectively prevent the default risk of debt repayment from both financial and financial aspects.

Second, expanding domestic demand, changing the mode of economic growth, improving the international competitiveness of domestic industries and enhancing the endogenous growth capacity of the economy cannot completely follow the government-led investment-driven economic development model. In the troika of stimulating economy, investment has always been the killer of our government to promote economic development. Especially after the outbreak of the global financial crisis, the import and export were hit hard, the consumer market was depressed, and increasing investment in fixed assets was tried and tested. China has also changed from a fiscal surplus in 2007 to a fiscal deficit in the past two years. Therefore, how to reduce the dependence of economic development on investment and export, that is, how to reduce the contribution of capital formation and net export to economic growth and how to increase the contribution of final consumption to economic growth, is the key to China's economic transformation. In the future, we should moderately reduce infrastructure investment and improve residents' income and consumption tendency, which should be the focus of domestic economic work.

Third, allowing private capital to enter the field of infrastructure investment will also improve the overall efficiency of the industry. In addition, China can further allow private investment to enter the fields of education, medical care, railways and other long-term monopolies. The development of these industries is also conducive to promoting the development and transformation of the service industry. The introduction of these reform measures also means that China's economy can avoid a serious slowdown.