The Research Of The Influence Of The Shadow Banking On Chinese Commercial Bank Profitability

After the financial crisis of 2008,a large scale of scholars recognized the concept of "shadow banking" and paid more and more attention to shadow banking.Different countries have different opinions on the definition of shadow banking,but most of the scholars believe that shadow banking has the characteristics of financial innovation and lack of supervision.Constantly in recent years,China’s financial market reforms,expanding the size of the shadow banking,with the more and more important position in the financial market.And the shadow banking acts force on the traditional business of the commercial bank.Therefore,it is necessary to study the influence of shadow banking on the profitability of commercial banks.Shadow banking is double for the influence of the commercial bank profitability.On the one hand,the shadow banking increases the commercial bank middle business income,on the other hand it influences the traditional business of commercial bank,and bargaining ability of the commercial bank.This paper discusses the definition,characteristics,development history,development status of shadow banking and the theoretical influence on the profitability of commercial Banks.On this basis,in this paper shadow banking is defined and divided into three categories: internal shadow banking,non-financial institutions shadow banking and unobserved social credit,and measures the scale of the shadow banking in 2007-2016.With the decade scale of the core shadow banking compared,it shows that the scale of the shadow banking as a whole is on the rise,the core shadow Banks having the same change trend,but it is different in the scale of the shadow banking.On 21 of the commercial Banks in 2007-2016 panel data analysis,this paper concludes that the shadow banking to have a positive impact on the profitability of commercial Banks,but there is the time lag effect.The whole size of the shadow banking with the core shadow Banks scale impact on commercial bank profitability,and found that both the impact of situation,influence the direction and time lag are the same,only influence coefficients are different.The current influence is not significant.In addition,the analysis of the profitability of state-owned commercial Banks by shadow banking is also studied.The empirical results show that the influence is not obvious.