Research On The Influence Of Internet Finance On The Transmission Mechanism Of Monetary Policy Through Stock Market

At present,the new financial industry “Internet finance”,which is blessed by Internet technology,has grown rapidly.The main formats such as third-party payment,Internet fund,P2 P online loan,and consumer finance have flourished.At the same time,Internet finance has taken advantage of network technology on big data in a short time.The rapid accumulation of a large number of users has now developed into a third financial industry that cannot be ignored in China.Connected technology has the advantages of reducing transaction costs,enhancing information exchange,and improving decision-making efficiency.The financial industry can leverage the Internet to fully tap the financial needs of small and medium-sized enterprises and individual potential customers,and exert a long tail effect.From the perspective of actual development,Internet finance will help to further aggravate the phenomenon of financial disintermediation in China.The traditional financial lending market dominated by commercial banks has been affected.At the same time,Internet finance has directly channeled funds from commercial banks into the stock market.The financing market makes the linkage between China’s financial asset prices and real economic activities such as investment in consumer enterprises stronger.With the rapid development of the mutual gold industry,the financial asset price has increasingly become a target for the central bank to implement monetary policy.Therefore,discussing how Internet finance affects the monetary policy stock market transmission mechanism is of practical significance for improving China’s monetary policy and financial market development.This paper uses the combination of theory and empirical analysis to analyze the impact of Internet finance on the transmission mechanism of the monetary policy through stock market.Based on theoretical analysis,in the main formats of Internet finance,the impact of third-party payment and P2 P online lending on the monetary policy money supply to the stock market transmission link is relatively large,and in the second stage of monetary policy transmission,Internet wealth management can affect Consumption and then enhances the wealth effect.Therefore based on the degree of impact and the availability of data,this paper discusses the third-party payment scale,the impact of P2 P online lending and Internet financing on the different stages of monetary policy transmission mechanism.The empirical results show that there is analternative relationship between P2 P online lending and stock market.SME investment directly affects the real economy;third-party payment can accelerate the circulation of electronic money,which can increase the supply of broad money;the second stage of China’s stock market has a block of consumption channels,and the development of Internet investment and wealth management theoretically helps.Residents of China share the results of stock market prosperity while avoiding high risks,and realize the growth of wealth so that they can clear the consumption channels to a certain extent.However,according to the empirical results,due to the short development time of Internet finance,the effect of China’s consumption channels is limited.In general,Internet finance can affect the efficiency of China’s monetary policy stock market transmission channel to a certain extent.In the context of the growing financial market,it is necessary for the central bank to incorporate financial asset prices into monetary policy objectives.In addition,how to properly regulate And strengthening consumer protection of Internet finance is also a question that monetary authorities need to think about.