A Study On Bank Systemic Risk Infection And Prevention

In recent years,with the continuous development of the global financial industry,the banking system shows more and more unstablility.So many countries in the world broken out banking crisis one after another,which had caused a series of financial turmoil,bring different levels of impact to the world.In the course of the crisis,the risk is usually spread in the region and industry,and we believe that these crises basically shown a certain degree of infection.In the research of the financial crisis triggered by the new situation,systematic risk has become a hot point.When a single bank or a small part of the bank system risk caused by improper disposal of business failure,the banking system crisis will become a high probability event.If the impact is huge,it will lead to the situation out of control,thus causes a widespread financial crisis,bringing a heavy blow to the entire economy and society.With the development of globalization process,China will face more external factors.At the same time,the financial process of China is gradually expanding the scope of the inter-bank market booming.Interbank lending,bond repurchase,bill acceptance and discount,etc.now become rapid development business,the growing ties between banks increase the risk of contagion.Under the influence of various factors,to prevent and resolve systemic financial risks has become a prominent problem in the domestic financial system.Therefore,to curb the banking crisis and prevent the financial crisis from the maintenance of the stability of the banking sector,we need in-depth study of the system of risk in the interbank contagion mechanism,speed,scale,characteristics and effect,which is more for prevention and control of risk.The earliest application of network science was used in the field of infectious disease research,which provides a new way of thinking for the risk contagion of banking.This article embarks from the perspective of complex network of bank market analysis method to construct a mathematical model to characterize banking network structure.The relevant attributes will be industry data of A share listed banks,which will be substituted into the calculation model of the banking network,to analyse China's banking system network structure.At the same time,by simulating the risk impact of the collapse of different banks,we will test the impact of each bank's risk on the other banks of the network.And we will propose different countermeasures before,during and after the events to prevent systemic risk.