This direction is developed since 1980s under the leadership of Professor Zhang Peigang, one of the economists from older generation. Relying on the Western economics, this is a key secondary discipline at the national level. Mainly engaged in microeconomics, macroeconomics theory and its applied research in China, this direction is also closely related with teaching as well as the nurturing of postgraduates. The research is characterized by focusing on the research and teaching of the basic theory of microeconomics as well as tracking the leading progress in microeconomic economics where new institutional economics, information economics, new economic cycle theory, new economic growth theory, new financial crisis theory are included; Using the theory and methods of Micro Macroeconomics to study the important realities and Policies of China’s Reform and Development is also an important task for this direction.

The direction has the following academic leaders and academic backbone: Professor Zhang Weidong, Professor Xu Changsheng, Professor Peng Daiyan, Associate Professor Zhang Yuying, Associate Professor Luo Chuanjian, Associate Professor Qian Xuesong, Associate Professor Li Weibing, Professor Fan Ziying, Dr. Shu Yang and Dr. Xu Jin etc.

Professor Zhang Peigang is one of the earliest profound scholars of western economics. After the reform and opening up, he became one of the first scholars who introduced and studied scholars of western economics. He published "Macroeconomics and Microeconomics", the emergence and development of Macroeconomics "and a number of influential works in the 1980s. In recent years, researchers of this direction have published works mainly include: "New Institutional Economics" (Zhang Weidong, Dongbei University of Finance and Economics Press, 2010), "Microeconomics" (edited by Zhang Weidong, Capital University of Commerce and Economics 2003) "Modern Enterprise Theory" (Zhang Weidong, Hubei People's Publishing House in 2002), "Economic Interpretation of Zhang Wuchang Economic Papers" ( translated by Zhang Weidong etc.)  Business Publishing House 2000 edition), "Macroeconomics" (edited by Xu Changsheng, University of Science and Technology in 2004), "the Study of the Wealth Effect in Stock market" (Liu Jianjiang, Xu Changsheng, Economic Science Press, 2010), "To the Road of Happiness" (Peng Daiyan, China Social Science Press, 2011) "China's Agricultural Tax and Agricultural Subsidies Policy and its Effects" (Zhong Chunping, China Social Science Press, 2011), "Foreign Mergers and Acquisitions, Industrial Safety and Government Regulation" (Luo Chuanjian, Hubei People's Publishing House 2010), "China Foreign Exchange Reserve risk Measurement and Management "(Li Weibing, Huazhong University of Science and Technology Press 2012)," Growth Economics "(Fang Qi Yun, Hubei People's Publishing House in 2002) and so on.

In recent years, the representative papers published include: "Research on the auction mechanism of state-owned enterprises property rights with staff placement as appendix " (Wang Hai, Zhang Weidong, Economic Research, No. 10, 2007), "The shock of creative destruction and expansion of  income gap”(Zhong Chunping, Xu Changsheng, Economic Research No.8 2006) "Chinese population age structure and residents 'consumption: 1989-2004" (Li Wenxing, Xu Changsheng, Ai Chunrong, "Economic Research" 2008), " “Analysis of China 's Environmental Productivity and Environmental Total Factor Productivity” ( Kuang Yuanfeng, Peng Daiyan) 2008, Taxation Competition, Tax Law Enforcement and Corporate Tax Avoidance,  "Fan Ziying, Tian Binbin," , Economic Research No.9, 2013), The convergence of the endogenous cross-border income gap" (Li Shangfu, "Economic Research" No. 6, 2011), "Expansion of product variety, quality improvement of innovation and creative destruction" (Zhong Chunping, Xu Changsheng, "Economic Quarterly "The First Issue of 2011", "The Theoretical Perspective of" the New Economy of the United States "(Xu Changsheng, Economic Journal, 2002, No. 7, 2002, Xinhua Digest et al., 2002).

In recent years, the state-level research projects are: National Social Science Fund major project "to promote China's industrialization and information integration research" (Xu Changsheng, 08 & ZD037), the national social science fund project “the study of state-owned property rights trading pricing mechanism" (Zhang Weidong BJL025), National Social Science Fund Project "creative destruction and its dynamic effect" (Zhongchun Ping, 11FJL007), the National Natural Science Fund Project “tax law-enforcement, corporate tax avoidance and business performance: the study of tax reform research based on tax sharing" (Fan Ziying, 71,303,083), National Natural Fund Project "Research on Internal and External Capital Allocation Based on Financing Discrimination and Insider Control" (Qian Xuesong, 71003035).