The Studies On The Promotion Of Local Government To Finance

In the socialist market economy, strong local governments are typical "Chinese elements". During30years reform and opening up, rapid China’s economic development has been called "Chinese miracle". At the same time, the financial industry has made remarkable progress. financial scale, financial structure, financial efficiency has been greatly improved. in the world financial crisis, China’s financial institutions kept steady operation situation and was critically acclaimed. On the one hand, the intervention of the government behavior on the financial has negative consequences, on the other hand, as we have seen, it really promote the development of the financial. The local government behavior is closely connected with the local financial development. Local government behavior is able to promote local economic development and drive the local financial boom, while, financial boom can provide reliable guarantee for local government. Therefore, the study on the relationship between local government behaviors and the financial development is of a new value.Based on the study of LY city as an example, this paper analyses the behavior of local government’s impact on local financial, and puts forward suggestions for local government to promote the local finance. The full text is divided into five parts. First chapter is the introduction, including the background and significance of this paper, theoretical basis and literature review, and the research methods. Second chapter is the comprehensive analysis the background of LY local government behaviors which promote finance, mainly including financial industry status quo and the relationship between local governments and financial industry of LY city. The third chapter focuses on the practice of LY local government which promotes local finance. The fourth chapter is the existing problems. The fifth chapter puts forward some relevant policy suggestions.