A Study On Folk Financial Development

Folk financial in world scope is a realistic question,also is a theory question. It often not only is the financial innovation, also is the financial system vicissitudeoriginal state. China reform and open policy several dozens years, no matter how is the government's manner,the folk financial active reality is undeniable. Presently, folk finance is no matter theoretically, also is a series of problems from the policy. The Chinese modern folkfinance is one kind which in the market reform process produces is different with the state-owned financial system system arrangement,has inevitability and rationality which it produces, also has it's own characteristic and weakness,promoted the national economydevelopment, and also gives the social economy movement to bring the certain risk.Folk finance in our country form extremely diversifies, mainly includesthe mutual economic assistance organization, the folk lends money, the folk gathers capital, the illegal money shop, center slightly operatesprivately bank and so on. Since long ago, the folk finance throughoutis lacks the protection in one kind under the condition to develop,this is extremely disadvantageous regarding the folk financialresearch. And transports the artificial thorough theoretical analysist the folk financial production, may clarify in the theoryunderstanding the deviation. At the same time, along with the interestrate market advancement acceleration, financial system reform of our country also arrived the critical moment, the folk finance took theimportant composition is also facing the question how is develops.Under this background, the research folk finance legalizationquestion is helpful to our further standard folk finance development,enables this kind of financial system to serve the economy of our country development goal well.This article is divided seven chapters except the concluding remark. The first chapter is the folk financial connotation limits and the functional localization. First aims at the academic circle to the folk financial concept existence different indication, has limited in this article the folk financial concept.The second chapter key has made the economic analysis to the folk finance, first elaborated the Mackinnon - Xiao's finance suppresses - the deepened theory, the development folk finance is the content which the finance deepens, then elaborated Nourse's system vicissitude theory, the development folk finance, tallies causes the system vicissitude.The third chapter is to develops the folk finance to make the necessary analysis. First analyzed the folk finance to lack the management surveillance's negative influence. Has some weakness besides the folk finance itself, a more important reason is government's system restraint. Then has enumerated the development folk finance superiority. The fourth chapter described the reason which our country folk finance's present situation, the main existence form and produce, enumerates the mass data explanation folk finance hugeness, the folk finance produces the reason then manifests the folk finance the inevitability which and the rationality exists in China. The financial system and the financial organization and economical development accompanying lives. The finance is serves for the economy, its production is inevitably endogenous in economic system's vicissitude. The Chinese modern folk finance produces the primary cause lies in the Chinese economic development the multiple dualization structural feature, simultaneously also has the folk finance's superior aspect reason. We also see the Chinese private capital from the folk financial development's present situation unusual sufficient, but the folk finance's development not full reassignment private capital liveness. Meanwhile also exists in its development like this with such question.The fifth chapter has analyzed the folk financial development existence question as well as the restriction factor. The folk financial development main existence form hiding, anti-risk ability are weak, the operational risk high, the interest rate to compare Gao He to supervise the cost to be high several aspects the questions, then analyzed has had these question restriction factor.The sixth octopus leaves the development folk finance the home international different processing mode. Our country "the loan does not only save" the jot credit institution and American, Japanese, Indian and Taiwan area treatment folk finance processing mode. Followed closely has been analyzing the domestic and foreign folk financial existence general character.The seventh chapter main elaboration development folk finance related policy suggestion and institutional arrangements. And internationally the folk finance's development path looked on present Chinese economic development situation that China's folk financial form in present's very long period of time with main body finance long-term coexisting, and will provide auxiliary for the main body finance's development. Similarly, because folk financial own weakness and the system aspect's restraint causes folk financial the development to receive the restriction. Must play the important role as system's performer government in the folk financial development. Therefore, we may start from the perfect laws and regulations, from the market access, the government supervision, the formulation perfect folk finance macroscopic control system begins, then promotion folk finance development.