Banking Spatial System Change And Its Local Effects In China

Along with the speedy development of economy financializing and finance globalizing, finance increasingly becomes the core of modern economy. The important role of money and finance to modern economic growth make it difficult to understand regional economic development without comprehending financial system spatial operation. Financial spatial system research not only contribute to well understanding financial system function and structure evolution, but also provide new thinking about regional development difference formation and regulation.Chinese financial spatial system shaped in planning economic regime age. Since Reform and Open, big change of financial system continually impacted the original financial geographical pattern. Especially, from the middles 1990s, Chine started a series of market-oriented banking reforms, which brought about banking spatial system great change. In this process, what changes did Chinese financial spatial system happen? How did these changes affect different local economy? This dissertation devotes to answer these two questions, and educe some policy inspiration.This dissertation consists of eight chapters.Chapter One is an introduction. It firstly analyzes the background and significance of financial spatial system research, the scale and period selection of this research, and then puts forward research train of thought and analytic framework based on existing studies.Chapter Two is basic concepts discuss and literature review. After discussing the related terms about finance and geography concept, this chapter analyzes the debate on whether geography and space can bring into finance and currency research, puts forward geography is becoming a key element about financial system evolution, and spatial dimension change about financial development should be paid close attention. Next is related literature reviews,which mainly come from financial development theory and financial geography. In particular, the author contrasts geography and economics about financial geography research from main research issue, analyzing methods, main viewpoints. Last is this chapter's conclusion and research inspiresChapter Three discusses the concept of regional financial spatial system and its impact on local development, which constructs theory foundation for this research. Regional financial spatial system is defined as a spatial structure which formed by various financial elements interaction in an area. Under new economic background, such as deregulation, fast development of information technology, globalization, regional financial spatial system evolution takes on four trends, including mainstream financial space integration, spatial ranking character, increasing competition between sticky financial places, alternative financial space forming and appearing. Fundamentally speaking, it is the financial institute and financial capital pursues different spatial profit that drives regional financial spatial system evolution. But in contemporary era, financial spatial system development increasingly is driven by some macro, top-town factors, such as globalization, information technology, national financial regulation and financial crisis. As a macro spatial structure power, regional financial spatial system deeply affects different local development.Chapter Four explores Chinese financial system change and banking spatial system development. Because of the transition character of Chinese economy, the change of banking spatial system begins from system change. According to banking branches spatial distribution and credit regional distribution pattern, Chinese banking spatial system experienced three development stages, national uniform planning banking space, regional division and market integration. Different from the international financial spatial system evolution, mainly as a bottom-to-top process driven by various powers, Chinese banking spatial system change started from government institution change, mainly as a top-to-bottom process.Chapter Five analyzes Chinese banking spatial system changes since the 1990s. Adopting HI Index, HHI Index, the geographical association rate between regional banks related variables and regional GDP, the analysis indicates the change of different bank branches geography is different. State-owned commercial banks branch geography converged toward markets, Rural credit cooperatives and Postal savings banks'branches geographies have evident spatial balanced character according to population. Financial capital geography changed greater than financial service geography and credit liquidity grew; loan and deposit geography increasingly mismatched the regional economic pattern; Beijing and Shanghai, financial center centralization effect is notable. Banking spatial system changes improved banking operation efficiency, but these is great difference in financial service quality, financial service access and credit availability between different regions, which may reinforce regional development gap over the long term.Chapter Six analyzes banking spatial system changes since 1990s in Henan province. From the angle of different bank institution, the analysis indicates that banking branch number dropped markedly and branch close pattern is close related with city rank. The higher city grade is, the less the branch closed. Different bank branch geography changed differently. State-owned commercial bank branch geography presented markedly centralized trend;Rural credit cooperatives branch tried to squeeze into city, running counter to its financial position, servicing rural region; Postal savings branch geography became more spatial balanced. Among the factors affecting bank branch distribution, regional population gross always is the most important factor, and the influences of regional economic development level and city rank are rising. In short, province region banking spatial system changed bigger than national banking spatial system. The notable characteristics are city rank phenomena and spatial polarization development.Chapter Seven is positive analysis of Henan financial development and economic growth. The results indicate financial development is negatively related to economic growth. From banking spatial system changes and deposit derive process of commercial bank, this chapter explains the results.Chapter Eight summarizes main findings in this dissertation, points the innovations and suggests the further researches in the future.