The Main Cause And The Way For The Shortage Of The Capital In The West

At present, china economy is coming into a period of discontinuity. The east has developed at unusual speed and already become the mainstay of our economy. It is spuring on the whole economy and has its own ability to develop. The west can't bear the large gap any more. It is the most important strategy to narrow the economic gap gradually and to accomplish the coordinated growth. It is not only an economic problem, but also a problem related to politics and the social steady.During these years of western development, the government has taken a series of measures both in funds and policy. The situation in the west has improved in many ways, especially in the infrastructure, environment and the living standard. But, the west is developing more quick than the west. As a result, the gap between the east and the west is not narrowed but enlarged. In order to drive the great development of the west, the government must adjust the layout of productive forces and the policy of regional economic development, and apply more preferential policy, and invest more capital and human resources.The main purpose of this article is to explore how to solve the problem of the shortage of the funds in the western development. The problem of the funds is always the "bottleneck" to restrict the development of the west. As the funds is the blood of the economic development, in order to narrow the development gap with the west on the condition that the inner motive force is not enough, we must try to find the solution to the shortage of the funds and develop the channel of circulating necessary funds. We should raise funds to quicken the development and the self-reliance and to achieve the coordinatedgrowth of our regional economy.In terms of the main cause of the shortage of the funds, I think the main problem is the following. First, the financial policy and the financial funds don't tend to the west and the total investment is not enough. Second, the invest structure is irrational. The government pays more attention in the capital construction than in the manufactory industry and the service business. So the increases of the investment don't bring about the fast development of economy. In addition, the government capitals haven't entered the west on the condition that the governmental capitals are limit. Third, the mechanism of raising funds is backward seriously, the main sources of the funds are from government and loans, the development of the monetary market and the capital market is slow.In order to solve these problems, I put forward the following methods. First, the government should give more preferential policy. Of course, the policy doesn't have the practical value until. Second, the government should enlarge the transferred funds to the west and can use the different financial system. Third, we should quicken the reforms and the innovations of the financial to broaden the funds channels of the western development. And last, transform the concept improved the investing situation, and formulate more preferential policy to attract investors.