Based On Institutional Evolution Of China's Bond Market Structure And Behavior

Since carrying out the policy of reform and opening-up to the outside world, China has started to foster the capital market in order to adapt to the economic transition. But all these lead to a path which emphasize stock market and ignore bond market. While by analyzing the capital market of developed countries, we can find that each of them boasts developed bond market with the balanced development of both bond and stock markets. Therefore, it has been the common ground that the bond market in China should be promoted so as to meet the requirement of economic development.During the past two decades since China implemented the reform and opening-up policy, the bond market in China has undergone a rapid development process. At the same time, there are still lots of flaws in terms of economic structure, such as singularity of fund raiser, scarcity of Investment Subjects structure, deformity of variety and man-made segmentation and so on. Under this kind of market structure, credit singleness and lack of Liquidity must be doomed to appear. Thus the function of bond market can't be brought into play. By further analysis of system variance, the evolution of structure and behavior of China bond market always come along with system variance. The formation of the structure and behavior of bond market are greatly influenced by system variance and will also influence the transition of system with its continuous development and evolution, thus produce new demands for the transition of system. That is to say the transition of system has become the endogenetic factor of the development of the bond market structure and behavior, not only exogenous environment. Based on the above analysis, a development strategy must be established on the basis of system transition for the evolution and development of the bond market structure in China.At present, although the problem of bond market structure is frequently mentioned in the theory circle, a common ground hasn't been achieved on how to understand bond market structure. Even there is a kind of view which takes bond market structure as the same thing with bond variety structure. Such a view is a partial and simple understanding on bond market structure which is not conducive to that standardization and deepening of the theory research on bond market structure. Therefore, this dissertation is taking the research on bond market structure as the key point to carry out deep analysis on its various factors. It takes many kinds of researchmethod, such as combination of static study and dynamic analysis, using the system transition theory and industry organization theory. By integrating its own financial feature of bond market, this dissertation makes a tentative study based on the market structure and discusses the corresponding market behavior and its function, and then brings forward a comprehensive development strategy of bond market. This has profound significance not only for the theory understanding on the overall development of bond market, but also exploring the way of system transform in the practice regard.This dissertation is divided into 6 chapters.The first chapter points out the main research problem, give the study clue and analysis frame, and explain the research methods and innovative points.The second chapter is the section of theory retrospect and introduction. Begin with the theory of bond market, the chapter discusses the function of bond market to macroeconomic and its Mechanics and Operation as well as the introduction of the attention and exploration of China bond theory field. After these retrospect, the dissertation introduces the industrial organization theory, game theory and system variance theory. According to these theory, my view is that although bond market is a financial market, economic beings are also restricted by universal rules, namely they will get their max benefit under the given system environment and market structure. The integration of behaviors determines the market performance. Thereby, we can reference the industrial organization theory, use game theory method and system variance angel of view to analysis the behavior and order of main body of bond market. Then we can design the theory frame: from the structure of bond market, by study of the market structure and behavior of bond market, under the explanation of relationships among all kinds of factors, we can put forward the development strategy conducive to China bond market evolution. Later chapters are based on this research frame and analyze respectively.The third chapter is static analysis of bond market structure and behavior. During the analysis process, the dissertation uses the contrastive method to study the structure and function of bond market academically and positively. Based on these, this chapter use for reference of industrial organization theory, put forward the analysis frame of bond market structure and behavior and systematically study the market structure, market behavior, market performance and relationships among them. This work gives the base of further dynamic research object to market behavior.The fourth chapter outspread the dynamic analysis of bond market development and relationships of economic beings. Firstly, the chapter dynamically analyzes the development process of China bond market. Secondly, using the dynamic game theory method, the formation of bond market structure and performance are analyzed. The main innovative point of this dissertation is to assemble market structure, market behavior and market performance in one endogenetic economic game process.The fifth chapter begins with the system variance theory, focuses on the system variance of China bond market. Based on the researches of system factors, system characters and the influence of market structure to market behavior, the chapter points out the characteristics and rules of china bond market system variance. On account of the Promoting Effect Government Dominated behavior, compellent system variance runs through the evolution of market structure and act on it. Although derivational system variance also works, it can't be the dominant because of the long variance time and high cost. The two kinds of system variance have effect to market structure and behavior both and the evolution of bond market structure and behavior may call for them too. Thus, the further conclusion is to drive the derivational system variance by compellent system variance and get the effective development by analyzing the market and structure.Based on the analysis from above, the sixth chapter brings forward the development strategy advancing china bond market structure evolution. One thing must be attention, most research of china bond market give suggestion by selecting one bond, single market or one function. Based on the system variance and bond market structure, this dissertation brings forward a holistic development strategy to promote bond market and structure evolution, thus advance the harmonious development of market structure and behavior.