The Study Of The Impact Of Capital Adequacy Ratio Regulations To Bank Credit Behaviors

Since the sub-prime crisis of the United States, the fields of practice and theorieshave both rethought about the financial regulation. And the Basle Agreement is alsobeen disputed as the most important regulation system and frame of global banking.The capital adequacy ratio is the heart of banking carefulness regulation, which is aimportant index to weigh the safety and moderation of the single bank and thebanking system. But, whether the capital adequacy ratio regulation can adjust thebanks’behavior, is the focus of theories discuss and regulation. This article keeps tothe research train of thought which calls "bring forward problems-analysisproblems-solve problems", and study the influence of the capital adequacy ratio to thebank credit, then I find it has a quite sizable times meaning.At first, in the base of summarizing the study fruit by our predecessors, thisarticle discusses the two roads of the capital adequacy ratio regulation impacting thebank credit which the one is straight shrink effect, the other is called currency policyeffect, through the bank credit transmit channel and capital transmit channel to impactthe regulations of currency policy to the credit, having hackled the impact mechanismof capital adequacy ratio regulation to the bank credit behaviors.Then, this article intuitively described the reverse impact of our country’s capitaladequacy ratio regulation to the bank credit from this aspects of the development andactuality of our country’s capital adequacy ratio management system, the qualitativeanalysis about the movement of our country’s capital adequacy ratio and the quantityof bank credit. Then, I have chosen the data panel about our country’s fourteencommerce bank from the first quarter of2004to the second quarter of2011, had theempirical study of the impact of capital adequacy ratio regulation to he bank credit.And I also used the data panel test method to find that there is a long stableco-integration relation between the capital adequacy ratio regulation and bank credit.Since my study, I found that there are some difference about the impact about thecapital adequacy ratio regulation to the bank credit between the state-owned andshareholding bank、 the big asset and small asset bank、the high capital and lowcapital bank.At last, this article based the conclusion of the empirical study, combined thecurrently regulation policy, I put forward the countermeasure suggestions of three aspects among capital adequacy ratio management、capital complementary channelsand risk management, hoping avoiding the disadvantage impact of capital adequacyratio regulation to the bank credit and the macroscopic economy as the same time ofimproving the effectiveness about capital adequacy ratio management.