Analysis Of Financial Development Impact On National Economic Development In Gansu

Finance is the "blood" of modern economic. The financial industry is the core of modern economy.The research about the influence on economy development caused by the development of the financial industry has been hot research outside and inside. At present, Lots of scholars use cointegration analysis in econometrics and Granger causality test to research the impact on total economic growth which result from the development of finance somewhere. Considered financial sector as an industry, there are few articles about the effects on the development of national economic Sectors in someplace. In order to understand the effects of the development of the finance industry in Gansu province on national economy, and grasp the overall problems which existed in the development of financial industry in Gansu province, this article uses the method of Input-output to analysis and get the results in expectation. This paper includes:First of all,this paper starts from financial function and Industry economics and introduce association mechanism theory between the deveoplment of financial industry,total economic growth and national economic sectors.Secondly,make Descriptive statistic analysis on current situation of the development of financial industry and economy in Gansu province.The results show that from "Reform and Opening" on financial industry has developed rapidly,but has less contribution on financial sector.Thirdly,use the methods of cointegration analysis and granger causality test in econometrics and get the affects and results which the development of financial industry has on the development of national economy and place emphasis on using method of Input-output. According to industry association effects and industrial spread effect principle concrete,this paper has research on the affects which the development of financial industry has on the development of national economy and get the results that the financial industry has limited the development of national economy and its basic industry status has not been fully reflected.Finally,according to the results and current situation of development of finance in Gansu province,this paper gives feasible advices.