Core Viewpoint - The article discusses the establishment and implementation of a monetary system in the Anti-Japanese Democratic Base Areas during the Second Sino-Japanese War, highlighting its significance in supporting the war effort and laying the groundwork for China's future monetary system [1][10]. Group 1: Monetary Policy Implementation - The Anti-Japanese Democratic Base Areas developed their monetary policies based on local economic conditions and geographical environments, focusing on unifying currency, stabilizing the economy, and supporting the war effort [2]. - Banks were established to issue local currencies, such as "border currency" and "North Sea currency," which gradually replaced the French currency as the legal tender for procurement, production, and fiscal transactions [2]. - A "material capital-based" monetary system was established, where currency issuance was linked to material reserves, allowing for price stability and effective market regulation [3]. Group 2: Currency Stability and Market Regulation - Various measures were taken to maintain currency value and stabilize the market, including restricting the circulation of enemy currencies and enforcing the use of local currencies [4]. - A unified market was established to facilitate trade and reduce transaction costs, while the fiscal system transitioned from primarily in-kind taxation to a more balanced monetary approach [4][5]. - The financial system was developed to support price stability and production, with banks playing a central role in issuing currency and providing credit [5][6]. Group 3: Economic Development and Resource Allocation - The implementation of these monetary policies significantly promoted economic development and social order in the base areas, ensuring the basic needs of production and living were met [7]. - Agricultural production efficiency improved, with grain output in the Shaanxi-Gansu-Ningxia Border Region increasing by 67% from 1937 to 1943, bolstering the material foundation for the war [8]. - The development of cooperative organizations enhanced farmers' economic autonomy and facilitated the circulation of currency, contributing to a more diversified economic structure [9]. Group 4: Historical Lessons and Modern Implications - The monetary policies implemented during the war provided valuable lessons for the establishment of China's monetary system and financial framework post-1949, influencing the creation of the People's Bank of China [10]. - Maintaining monetary and financial sovereignty was crucial during the war, a principle that remains relevant in today's complex international environment [10]. - The focus on serving the real economy through financial policies was emphasized, highlighting the need for a balanced approach to prevent financial risks [11]. - Flexibility in policy adjustment based on changing circumstances was a key factor in the success of the monetary policies during the war, a practice that should continue in modern financial reforms [12].