Research On The Financial Institution Design Under The Background Of Transitional Economy

Based on the underground of transitional economy in China, the financial reform is a gradual institutional structure transition which always falls behind the reform in economy from plan economy to market econmy.The gap between formal financial system and the required structure is the main reason and for the booming market of private finance (or named informal finance). Promoting the private finance in China is essential to accelerate the transitional process and stimulate the development of private economy. Although most of the exports achieve the mutual recognition on the importance of private finance, the systematical research on the institution design has been ignored so far, providing the innovating field for this research.Taking the transitional economy as the special background, this paper focus on the comprehensive research and institutional analysis on the private finance in the entire financial system consists the formal or state-own financial entity and private finance. This thesis can be divided into six parts: In the first part, the author introduces the purpose and meaning in this field, and the present situation of research and developing trend in our country and overseas, and puts forward the main research idea and research methodologies; the Chapter 2 illustrates the requirement of transitional economy for private finance and the necessity from the point of the institutional defects in state-owned bank and the barriers in financing in private econmy, besides, emphasizes the comparative advantage in the field of transaction cost in private finance, drawing the conclusion that it does good to forming capital, developing economy, maintaining the ecology balance.The third part summarizes the scale, the patterns and characteristics of private finance together with the negative influences to the economy; Chapter 4 compares the situation and history of private finance in the developed entities such as America, Japan and Taiwan in China, analyzes the experience useful for China .In the fifth part, proposes the transitional path and institutional innovation of private finance in China under the background of transitional period. In this thesis, the author adopts several methods, such as combining of the logistics and history, qualitative analysis and quantitative analysis, comparative analysis, institutional economics and game theory.The achievement of this thesis consists of fix points: first, taking the transitional economy as the background to analyze the necessity and meaning of developing private finance. Second, this thesis summarizes the scale, the patterns and characteristics of private finance together with the negative influences to the economy. The third point, after comparing the situation and history of private finance in the developed entities, illustrates the experience for China. The next, the author proposes systematically the transitional path and institutional innovation of private finance in China .Last but not the least, the innovation is making use of theory of transaction cost and game theory in this analysis.