The Counterplan Research On Bank Regulation Of China

The banking is always one of the professions that the government takes charge of most strictly in the modern economy. The bank is a special financial business enterprise. The complexity of the risk of the bank comes to flimsiness of conduct. And, if the occurrence bank bankruptcy even the large quantity collapse, not only bring loss for the bank oneself, but also will endanger the whole social economy. The banking of China has a prominent position in the national economy. Once the banking is wrong, the whole financial industries will paralyze.How to supervise banks? The problem has always attracted a throng of researchers' attention since the birth of banks. What kind of supervision system is the best? There have been a good many controversies within academia at all times, as a result, which brought on such supervision theories including admittance condition supervision, capital adequacy ratio supervision and deposit insurance mechanism. In the meantime of looking back various theories of bank regulation,writer considers that modern bank supervision should pay more attention to self risk domination of internal bank. So, building bank prudence management rule system, establishing supervision management evaluation system and risk monitoring mechanism, constituting interior procedure on taking supervision compulsion measures and setting up supervision responsibility system, which are emergency problems needed to be resolved by bank supervision. This paper's main novel is that: this paper establishes one plural linear regression model to systematically research the difference of bank regulation systems, between 39 countries in the world and the influence of them on the banks' competency power. We want to use this model to test various theories on bank regulation and seek the relatively optimum supervisory system. So, we establish one plural linear regression model, with BCP as the dependent variable, with 10 variables reflecting the differences of cross-country bank regulation system as independent variables. We use this model to systematically analyze the influences of each independent variable on the dependent variable.This paper's main conclusion is that: the various severe requirements of prudential regulation, such as capital abundance, liquidity and provision requirements show no notable effect on the banks' competency power. So it is more essential to strengthen the self-control ability to the risk-taking of banks. The results of this paper also show that: such factors as market supervision power authorized by the governments, explicit deposit insurance system, independence of the regulating institution, the flexibility and pertinence of the regulation measures, strict bank exiting regulation have remarkable positive influence on the banks' competency power.Because of the important position of the banking and out of market order, Bank Regulation have already become a kind of special and public article, needing a public section from the government to provide in a great degree. The conclusion of this paper have more realistic meaning ,such as strengthening the direct management of the banking, norm direct management behavior, guarding against and dissolving the banking risk, protecting the legal rights of the depositor and other customers, promoting healthy development of banking.