Research On The Influence Of Financial Marketization On China’s Economic Growth

Over the past 30 years of reform and opening up,China’s financial reform has always adhered to the direction of market-oriented,government-led,financial services to the real economic development mission,out of a wealth of Chinese characteristics of financial reform and innovation.But we must be soberly aware that China is not a financial power,because of our unique "dual financial structure" and from the national and government level of control,over-exploitation of resources,environmental degradation,lack of market vitality,Expensive and so on.China’s financial system has yet to be further improved,the financial support of the real economy’s function has yet to be further realized.In recent years,under the background of increasing pressure on China’s macroeconomic downturn,the Third Plenary Session of the Eighth Central Committee of the Party made it clear that it should play a traction role in the economic system reform and make the market play a decisive role in the allocation of resources.Market decisive role is to adhere to the direction of market reform.And finance is the core of modern economy,to the financial field,is to improve the financial market system,accelerate the financial market reform.The impact of financial marketization on economic growth can be more accurate and profound understanding of China’s financial market-oriented reform,which is related to the new normal China’s financial market reform through the promotion of economic growth and transformation and upgrading.This paper combines theoretical analysis,realistic analysis and empirical analysis to study the impact of financial marketization on China’s economic growth.First of all,this paper introduces the research background and significance,methods and contents of this paper,and combs the research literature of predecessors.Secondly,it introduces the theoretical basis of financial marketization,analyzes the mechanism and channel of financial marketization to economic growth,and lays the theoretical foundation for empirical analysis.Then,according to the current reality of our country,the paper analyzes the current situation and problems of financial marketization and the relationship between financial marketization and China’s economic growth.Thirdly,the regression analysis of financial marketization and economic growth is carried out by using the multiple linear regression model of panel data.Then the tool variables are selected and the further estimation of the two-stage least squares method is adopted to overcome the endogeneity.The results show that financial marketization has a positive effect on China’s economic growth,that is,financial marketization can promote the growth of China’s economy well.Finally,in view of the specific situation of our country,we give some suggestions to promote the financial marketization:First,build a multi-level capital market system,change the real economy over-reliance on bank credit financing situation,decentralized financial risks;Third,strengthen the financial infrastructure construction,in the payment of liquidation,legislative supervision,information disclosure and so on to speed up with international standards.Third,strengthen the financial infrastructure construction,in the payment of liquidation,legislative supervision,information disclosure and so on to speed up with international standards.To create a favorable market competition information and institutional environment to protect the financial market safe and efficient and overall stability.