April 12^th to 13^th, 2014, MAO Yushi’s Class (2014) Session Four was held in Hangzhou. Joined in this session were Mr. MAO Yushi, Honorary President of Unirule, Professor ZHANG Shuguang, President of Unirule Academic Committee, and Mr. ZHAO Nong, Member of the Board of Unirule. There were 39 students present for the session as well as some students from the last year. The discussion and debate were heated.

Mr. MAO Yushi talked on “How Math Changed Economics” and “Pareto Improvement and Its Application”. He introduced math as an old discipline and how it got involved with economics in the end of 19^th century. He then analyzed the importance of math in economic analysis and the accuracy and efficiency math had contributed to economics. He concluded his talk by summarizing the functions of math in economics, and the significance of economics in changing modern life. On his second talk, he dealt with various topics concerning Pareto Improvement and its applications. He pointed out that the reforming path of China was the way to pursue Pareto Improvement. He also introduced in discussion on how to deal with seemingly contradictory issues such as justice and efficiency, environmental protection and economic development, etc..

Professor ZHANG Shuguang talked about “Internet finance” at the session. He analyzed the rapid development of Internet finance from a historic point of view. He thought Internet finance lowered the cost than traditional finance and increased benefits. He pointed out that Internet finance could be a good instrument for pushing forward reforms in China as it broke the operating mode of traditional finance. About regulations, he thought the government should change the regulation model and come to terms with the fact that regulation should not be containing private rights. He thought further studies should be dedicated to Internet finance.