Research On Financial Development Promote Economy Growth Based On Micro-View

The relationship between financial development and economic growth at home and abroad has been much academic attention. Looking back on the classical literature writen by scholars at home and abroad,we will find that such a law: The research was done by scholars from the macro level to a micro-level process, and this paper is to ontinue along this line of thought from the perspective of micro-inspection and to do some research on the topic financial development promote economic growthOur logic is that if the financial development can promot economic growth, the first is that financial development can promot improvement of enterprise investment and improve the behavior of investment results.if enterprises investment and investment results can be improved, that means the enterprise is constrained by the reduced financing, and that means the increase of the rate of return and so on. If the operating rate of return is increase, the operating results will be reflected in the financial statements, reflected in the specific financial indicators.Based on this logic, if we are able to link financial development and business-related indicators and prove the relationship between them,it means that we find the evidence that financial development promote the enterprise development。The basic content of this paper is on the logic of this.First, in this paper, we establish a theoretical framework and demonstrate financial development promote enterprise development. Second, DuPont financial analysis was be incorporated into this papers。By comparing the demonstration, we believe that DuPont system is a powerful method which can analysis enterprise management situation。Then, view on our statistical data and the availability of statistical data, we choose the the grey related analysis as empirical analysis methods,and finally come to the results: financial development is to promote the growth of enterprises, but the result is not ideal, because of the rapid growth of income of their primary business benefits was offset by the cost of primary business as the same speed; bank loans was the main driving force to support the development of enterprises, however, a large number of bank loan assets of enterprises did not bring the improvement of profitability, the result is that a lot of a low efficiency of business assets was left;Bank lending has not really flow to the non-state-owned enterprises which need funds eagerly and is dynamic,the credit policy doesn't reflect the difference between the state-owned and non-state-owned enterprises。Furthermore, in light of China's specific situation, this paper presents the relevant policy recommendations, and the author suggest some futher study based on this paper。...