Research The Eastern And Western Differentiation On Capital Formation And Investment Efficiency

With the West Development Policy promote, the western region economy to get fast development. Compared with the eastern region, the gap between the regional economy does not seem to be reducing, but is expanding. The level of regional economic development mainly depends on the capital element. The difference capital investment efficiency in different region can also affect the economy development. Therefore, effective capital formation mechanism and higher investment efficiency plays an important influential role in regional economic development.This paper is focused on compare and contrast the capital formation and investment efficiency in the eastern and western regions. Through comparing the regional gap, found the western area of the capital market shortage, then provides suggestions for the development of western capital market. The conclusions through the comparison between the situations of economic development area, the capital formation, investment efficiency is following at list. Firstly, the large gap of the eastern and western region economic development is gradually expanding. Secondly, regional capital formation and investment rate is very different. The eastern region invest efficiency is higher than the central and western regions.Establish the regression model between capital formation and economic growth, investment efficiency and economic growth based on the western development the years date, the Calculation results have great correlation.Finally, Analysis shortage of capital formation and lower investment efficiency in the western region according to the research results, combined with actual problem, then provides suggestions for the development of western capital market, then promote balance development of regional economy.