An Empirical Study On The Fluctuation Of Internet Finance In China And The Phenomenon Of "Removal To Virtuality"

Internet finance is an emerging "Internet +" financial market that has developed rapidly in recent years.In 2013,it was called the first year of Internet finance in China.In 2015,it was called by some scholars as the blowout year of Internet finance.It can be seen that the development of China's Internet finance is fast and the momentum is fierce.The "Internet +" financial market model satisfies the diversified financing needs in China's financial market.Internet finance has shown its great market development potential and potential since its rise in China.In particular,Internet finance has always been highly anticipated for the development of China's HP finance and for alleviating the financing problems of SMEs in China.The government has also shown a very supportive attitude towards the development of Internet finance.Premier Li Keqiang published a report on regulating the development of China's Internet finance in the "Government Work Report" for four consecutive years,proposing to build a mature and effective operating market mechanism and a sound regulatory system.Let Internet finance better serve the development of China's SMEs' real economy.The emergence of new things always coexists with opportunities and challenges.The spurt development of China's Internet finance has also exposed some challenges and risks.For example,under the circumstance of the development of Internet finance,the market's large fluctuations,weak risk defense and the phenomenon of “de-reality and virtuality” are hidden dangers on the road of good development of Internet finance.In order to develop China's Internet finance in a healthy and stable manner,we should study the characteristics of China's Internet finance development and build an Internet financial market suitable for China's economic environment in order to effectively promote the healthy and stable development of China's Internet finance.The overall context of this paper is to describe the definition,origin,development model and characteristics of Internet finance,and then analyze the development status of Internet finance in China,and then analyze the current situation of Internet finance.The problem is to establish an econometric model for empirical analysis.Firstly,through the establishment of the measurement model GARCH and EGARCH,the volatility characteristics and leverage effect of China's Internet finance are empirically analyzed,and it is concluded that it has the characteristics of volatility cluster but does not have leverage effect or risk awareness.Then the paper establishes the structure vector autoregressive SVAR model.An empirical study on the interaction mechanism between Internet finance,SME development and small and mediumsized stock market,quantitative analysis of the economic phenomenon of China's Internet finance “de-realization”;finally,the empirical analysis results obtained in real life The current situation of the Internet financial environment provides corresponding policy recommendations for the better development of China's Internet finance.