A Study On The Institutional Evolution And Efficiency Of Stock Market Of China

This article deals with how government's unnecessary regulations influence the efficiency of stock market based on the analysis of the institutional evolution of China's stock market.The writer divides the history of China' stock market into five stages by the role of government and market in each stage respectively,then proves the negative impact of unnecessary regulations on stock market using empirical research methods such as unit root test.This article includes analysis of the resource allocation situations in stock market at different stages.This article concludes that unnecessary regulations have a negative correlation with the stock market efficiency.The efficiency increases when central government imposes positive influence by improving current stock institutions and decreases vice versa.