A Study On Financial Innovation Systems

Applying principles and methods of systems science, innovation economics, development economics and finance, this dissertation carries on the exploring research on financial innovation systems and focuses on the conceptual framework, the operational mechanism, the empirical measurement and the development strategies of financial innovation systems. The following six parts are included:1. The basic theories of financial innovation systems. This part introduces the financial development theory, innovation economic theory and complex adaptive system (CAS) theory and analyses their inspiration to our research on financial innovation systems.2. The conceptual framework of financial innovation systems. This part circumscribes the implications of financial innovation system, and then presents its properties, its agents, its factors, its general and functional structure, its general and specific environment and its function.3. The operational mechanism of financial innovation systems. Employing CAS and binding the properties of financial innovation, this part explores the creation mechanism and the growth mechanism of financial innovation systems and describes its growing from small to big, from weak to strong, from microcosmic agents to macrocosmic emergence phenomena. Then the feedback mechanism of financial innovation systems is discussed and the reciprocity between the agents and between the financial innovation system and its environment.4. Efficiency Measurement of financial innovation systems. Indicator system of financial innovation systems assessment is presented and data envelopment analysis (DEA) is employed in empirical measurement of financial innovation system. It is shown that Market-based financial systems are more propitious, to financial innovation systems than Bank-based financial systems; if financial output and economic output wants to be increased, input should be increased in developing countries with high growth and undeveloped finance.5. Simulation of financial innovation systems. Investigating the status of financial innovation systems in China, the running of financial innovation systems is simulated. The conclusions of simulation are following: corporative innovation is better than independent innovation in financial innovation systems; corporative innovation can bring on the mergence of networks; corporative innovation reflects on Monopolistic competition and independent innovation reflects on oligopsony; coexistence of cooperation and competition is in the financial.innovation systems; the running and developing of financial innovation systems are the results of the interaction effects between innovation agents.6. The development strategy of financial innovation systems. Firstly, this part describes the evolutionary track of financial innovation system. Then the conditions and characteristics of financial innovation systems are analyzed and its path is pointed. Lastly, the management strategies, the institutional strategies and the technical strategies of financial innovation systems are presented.