Research On The Behavior Of The Government Financing Platform

The local government financing platform is a product of the interaction ofgovernment and the market, which played a crucial role in promoting local economicdevelopment and improving infrastructure. The local government financing platformhad a explosive development after the central government introduced a4trillioneconomic stimulus plan, for the development spurt. With the further expansion of thescale of development and the areas covered by the platform，a series of problemsfollowed. The solar photovoltaic industry is an example in this paper, to investigatethe pros and cons of government financing platform to support the development ofindustrial, which attempt to define the behavior of the financing platform, and proposeits optimization measures. In terms of the content of the article, systematic study ofthe industrial characteristics and development status of the solar photovoltaic industry,provide a realistic basis to further explain the behavior of the financing platform. Atthe same time, analyzes the motivation, operating mechanism, and operational stepsof the local government financing platform. On this basis, qualitative and quantitativeanalyzed the behavior of local government financing platform to support thephotovoltaic industry. Through the SWOT model analyzed the platform behavior ofthe angle from advantages, weaknesses, opportunities and threats. In addition, entropyquantitative analyzed the financing efficiency of the nine listed PV companies withthe Entropy method, combined with the LDK Solar actual case of the financing oflocal government financing platform behavior.This article concluded: Due to the unique properties of the photovoltaic industry,when the industrial developed to a specific stage, it should be guided with thegovernment scientific and rational means. But in the actual process of development ofthe photovoltaic industry, the government existed the behavior of excessive marketintervention. Through the quantitative analysis revealed that the generally lowefficiency of China’s photovoltaic corporate finance government financing platform,in this case, government financing platforms will produce its lending offset allocationof resources. Therefore, the development of photovoltaic industry must ultimatelycomply with the laws of the market, government intervention will produces inefficienresults.