The Substantial Research Between The Financial Development And Economic Growth In Anhui

The economic growth is the most important premise in improving the standard of living, the society progresses and the political stability.Unceasing to explore and find the new elements which can cause economic growth,and to display their positive role in the economic development,is the eternal pursuit of goals of the economists.The promotion on the financial development to economic growth has been confirmed positive in most countries.Finance has a reputation as the modern economy core.However,the present results of research in the domestic and foreign focus on the field of the nation,rarely penetrate into various regions.Due to the unique of the regional economic and financial development,the relation between the two affects is different in various regions.The research of the relationship between the financial development and economic growth in undeveloped Anhui province has great practical and theoretical significance in rich regional scope of the financial development and economic growth in China's fundamental research,pointing the harmonious development of economy and financial,improving region's economic status of Anhui Province in the central.The article is divided into five parts.First briefly introduces the proposition of the question,the significance of the topic,the method of the research.Then it embarks on introducing the concept which is about the financial development and the economy growth, the comprehensive summary of theory evolution process of the financial development and the economic growth,separately carrying on the analysis and the exposition of the mutual function mechanism between the two factors.The third part,on the basis of overview of the macroeconomic and financial developments and the development process and present situation of Anhui economic and financial development,it specifically introduces the representation of measurement indicators,from Anhui's reality,selects measurement indicators to weigh the level of the two factors:using the ratio of deposit and loan balances in all financial institutions with GDP to measure the financial scale;the two ratio of financing amount of stock with GDP to measure the development of the depth in capital market;the last ratio of premium income with GDP to measure the level of development of the insurance market.Applying the software of EVIEWS3.1 to choose the related year data to carry on the scientific analysis,obtains that Anhui's finance development has promoting action on the economic growth.,and the conclusion what is financial development scale has the positive and negative effects on the function of the economy in different years;the development in the stock and insurance market has the promoting action to the economical growth.The fourth part,it selects Jiangsu Province which has some common characteristic in region,geography,policy guiding and other aspects as an example for comparison,according to the comparison in economy and finance with Anhui, thus deeply analyses the reason which forms the present situation of Anhui's finance development and the economic growth.The fifth part,in the view of the policies,it proposes specific suggestions to develop intermediaries moderately,the vigorous stock and the insurance market,and to expedite the implementation of mixed operation mode,in order to rapidly promote economic growth in Anhui Province,to play a certain reference in relevant departments in the policy-making.Finally,the article proposed the further research direction based on the research.