The Impact Of Financial Disintermediation On Economic Growth

Financial disintermediation,as early as in the 1960 s the United States,the main reason is government regulation Q and capital market change,these two reasons causing market interest rates higher than bank deposit rates,the final outflow Banks into the securities industry,the banking financial institutions disintermediation.In the 1980 s,the problems of financial disintermediation in countries with perfect financial systems such as Italy,France and Japan,and developed market economy were also emerging.Many foreign scholars to the rise of financial phenomenon in the widespread attention,and the research scope from all banking financial institutions to the financial institutions,since in the process of disintermediation "medium",started by the banking financial intermediaries(narrow sense)broaden the whole financial intermediaries(generalized).Financial disintermediation is defined as financial disintermediation,meaning such as stock,bond,investment fund direct investment way generation and optimization,capital demanders through direct use of these financial innovation tool,and then the method to bypass intermediaries direct access to capital.?In the last decade of the last century,Shenzhen stock exchange was established on the basis of the establishment of the Shanghai securities exchange,which symbolized the establishment of the domestic standard securities market.In 1996,the Shanghai and Shenzhen two score keeping Treasury securities trading on a large scale,its repo transactions,marked the rudiment of stock exchange bond market system is formed,the series of events marks the maturity of the domestic capital market and financial market development,also marks the country's direct financing market preliminary form.Since China's reform and opening up,China's rapid economic development,the accumulation of wealth,people more and more tend to stocks and bonds and other direct investment,enterprise is becoming more and more inclined to bypass the third party,the direct financing through capital market forces.Financial innovation and development and the tendency to resident enterprise investment and financing have caused a huge outflow of financial intermediary,and in our country financial intermediary,the current commercial Banks still play a leading role,and thus on the financial disintermediation intermediary role to our country,commercial Banks respond more obvious.Our country finance disintermediation concept later than Europe and the United States in two hundred and thirty,so study is less,and scholars mostly against disintermediation is described and for study of influence of banking business and development.Financial disintermediation is,in fact,capital demanders and financial intermediaries game of both sides solution,for intermediary organizations is the threat of a certain extent,is also a change of the structure of the opportunity.Financial disintermediation,in essence,to some extent,is also a kind of financial industry supply structure reform,which provides a more effective way of financial supply,the financial supply side structural reform effect on economic progress there is a major theoretical and practical contribution.Therefore,this paper aims at measuring the economic data of the region and studying whether financial disintermediation can significantly improve China's economic growth rate.According to the eastern economic development speed and scale for the nation,and one of the highlights of the Yangtze river delta region and the eastern economic development,so this article use the main involved in Jiangsu,Zhejiang and Anhui three provinces and Shanghai economic situation as a representative of the Yangtze river delta region economy.Selection based on the data of representative and availability,2002-2016 older triangle financial disintermediation situation and related economic and cultural indicators,using Eviews10.0 successively stationarity test,KAO cointegration test and panel data regression analysis,the robustness test(GMM)to study the effect of financial disintermediation on economic growth.In this paper,the empirical part through LLC,BT,a total of 5 IPS,ADF and PP stationarity test method variable first order smoothly,then borrow eight index is obtained by KAO cointegration test,there is significant cointegration relationship between data does not exist the problem of "false return".Then by panel data regression analysis model of determination coefficient is 0.9984,which is to think through the independent variable,to dependent variable LNPY produces about 99.84% of the interpretation ability,so think of this model to explain ability is very good.Finally,through the robustness test to amend the endogenous problem in the model,the result is basically similar to the original result,so it is concluded that financial disintermediation can effectively promote economic growth.All in all,the data analysis shows that domestic financial disintermediation has been growing since the beginning of this century and has accelerated in recent years.Due to the positive correlation between financial disintermediation and economic growth,in order to accelerate China's economic growth,we should actively learn from the successful disintermediation experience in developed countries.At the same time,the financial supply side represented by financial disintermediation structural reforms and make proposals for development,through the control of monetary aggregates,dredge the transmission mechanism of monetary policy,restrictions on internal idle funds in the financial system,optimize the financial structure,promote the financial development of science and technology strengthen the reform of the financial structure of the supply side,provide powerful internal drive for financial disintermediation.At the same time,we should improve the financial system,step up financial supervision and expand the scope of supervision,and create an excellent external environment for financial disintermediation.