Research On Issues Of Financial Regulation Of China In Post-crisis Era

Finance, which is the blood of economy, is at the core of modern society and has penetrated into all aspects of life widely and profoundly. Finance's security and stability are directly related to a country's order of the market economy. However, financial regulation is essential because of all kinds of factors, which includes the market failure in financial markets (economies of scale, externalities, asymmetric information, etc), the financial system vulnerability and financial resources' scarcity.In September 2008, American financial crisis, which is triggered by subprime crisis, reached all over the world. Since then, the U.S. economy entered a long, painful readjustment period. At the same time, the global economy is severely affected. Afterwards, following the crisis' ease, world economy gradually gets into the post-crisis era, which is filled with ease and unknowns.The failure of financial supervision is believed to be the main reason of this serious crisis. On March 6,2009, an IMF's report claimed that the chief culprit is the faultiness of financial regulation and failure of market discipline. IMF held that the game between financial institutions and financial regulation is the root cause. On the 40th Davos annual meeting in 2010, how to strengthen the supervision of financial institutions became the most intense topic. This meeting also reached a consensus on a global level of financial supervision. Meanwhile, in post-crisis era, the main developed countries begin the financial regulation reform one after another, especially the birthplace of this crisis—America, and the large-loss country—England. After almost two years of hard process, U.S. Congress approved an overhaul of financial regulation—Law the Wall Street Reform and Consumer Protection Act, which represents the biggest rewrite of financial rules since the Great Depression. Under the new rule, the government has new powers to seize falling financial companies. Those include businesses that, during the financial crisis, were considered "too big to fail". In addition to that, Congress agreed to create a Consumer Financial Protection Bureau.In this context and in the situation that our country just undergone the gradual socioeconomic transition and the preliminary market system should be further improved, there are still many problems in finance, such as chaotic situation, laggard service, worst performing and money laundering. In addition, from the level of government regulation, the problems including imperfect regulation, nonstandard means and behavior, poor execution and low punishments are still austere. Therefore, it becomes our focus that how to solve the above problems and improve the financial regulation system. And in this situation, this thesis is determined.Based on previous studies and mainly relying on the theories of Regulation Economics, Finance and Institutional Economics, this paper is set in the intricate post-crisis era. First, this paper reviews the theoretic approaches both home and broad. Afterwards, it provides some references on China's financial regulation through analyzing main developed countries' financial regulation evolution and the regulation reform in post-crisis era. Then, based on China's financial regulation situation, this text discusses the existing problems in different financial industries. Next, this article emphasizes the writer's financial regulation suggestions. Finally, the conclusions are drawn.By referring to the important approaches and experiences in financial regulation, systematic and overall study on China's financial regulation is done, which is of significance for further improving and perfecting the theoretic system of Regulation Economics, Finance and Law & Economics. Beyond that, this paper has other contributions to resolve the practical regulation problems and perfect the financial regulation system.In methodology, the thesis organically associates historical research, method of comparative analysis and data analysis method. From another perspective, based on the normative research, the article aims to the combination of positive analysis and normative research. The author made a small exploration both in the research method and content and put forward a certain sense of innovation.