An Empirical Study On The Impact Of Financial Efficiency On Regional Economic Growth

In the report of the Nineteenth National Congress of the Communist Party of China.it is clearly pointed out that finance is the core of modern economy,in order to establish a modern economic system and promote the quality,efficiency and power changes of economic development.Therefore,in order to maintain the steady and healthy development of economy,we must do a good job in finance and improve the quality and efficiency of finance.On the basis of reading a large number of previous literatures,this paper finds that there are great differences in the current measurement methods of financial efficiency,and the results of measurement are not uniform,and even some methods are unscientific For this reason,this paper first elaborates the background of the topic,dividing financial efficiency into financial service entity economic efficiency and financial market efficiency.Secondly,on the basis of reading the classical theory,this paper studies the promotion mechanism of financial efficiency to economic growth from two perspectives of real financial efficiency and market financial efficiency.Thirdly.according to people's latest understanding of financial efficiency,this paper reforms the original method and uses composite indicators to measure financial efficiency in China and other regions.The trend of national financial efficiency is divided.China's financial service capacity of the real economy shows a downward trend,while the efficiency of the national financial market shows an upward trend.At the same time,there is regional imbalance in financial efficiency.Then,we use VAR model to quantitatively study the empirical role of financial efficiency and economic growth at the national level By constructing multiple regression model,taking GDP growth rate as dependent variable and real financial efficiency and market financial efficiency as main explanatory variables,the paper uses fixed effect model to study the impact of financial efficiency on economic growth of provinces,cities and autonomous regions.The results show that the market financial efficiency is the highest in the east,not significant in the central and Western regions,while the real financial efficiency is the highest in the west,followed by the central and Eastern regions.Finally,according to the research results.the author puts forward some suggestions on how to improve the financial efficiency of different regions.