Research On The Systematic Evolution Mechanism Of Provincial Financial Ecology And Economic Growth In China

Since 2010,the China's economic growth has been declining.In the context of economic downtown,the pace of financial reform has accelerated.Through the deepening of financial reform,continuing to improve the financial vitality,so as to continuously optimize the financial environment,so the study of the financial environment was much concerned by scholars for a long time.By introducing the concept of financial ecology,we can analyze the relationship of the growth of economic and financial ecology by employing the theory of system dynamics.Firstly,according to the principle of scientific,level,comparability and data availability,this paper establishes the index system of financial ecology,including the development depth of financial body,social security level,legal environment,credit environment,government public service,financial sector independence.Then,by using the system dynamics and employing the causality diagram and system flow chart,the system dynamics simulation model of the relationship between financial ecology and economic growth is constructed and the is tested by various tests such as sensitivity test,consistency test and so on.On this basis,using the data of 30 provinces in China from 2001-2014,this paper analyzes the evolution characteristics of interaction of economic growth and financial ecology,it also predicts financial ecological level from 2015-2025 and analyzes horizontally and longitudinally the development of financial ecology in four regions of China.The result shows that the financial ecology level is the highest and fastest growing in the east region,the western region is in the lowest level and the central region and northeast region is between the other two regions.In addition,the paper also further resolves the different impact of main factors on the financial ecology and compares the difference between different regions.Main factors include fiscal revenue,household consumption expenditure,education expenditure and fiscal gap.The result shows that the influence of fiscal revenue on financial ecology is the largest among main factors,the influence of household consumption expenditure and fiscal gap on the financial ecology are different at different regions.In economically developed areas,the degree of household consumption expenditure and education expenditure is basically same.In economically underdeveloped areas,the impact of education expenditure is significantly greater than the household consumption expenditure.At the same time,the inhibition of fiscal gap on the development of financial ecology in economically underdeveloped areas is more obvious than in economically developed areas.Finally,according to the result of the policy simulation,the paper obtains the main factors,which affect the level of financial ecology and puts forward some suggestions to improve Chinese financial ecology.