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Posted on:2002-03-31Degree:DoctorType:Dissertation
Country:ChinaCandidate:L P XuFull Text:PDF
GTID:1116360032454757Subject:Money and Banking
Abstract/Summary:PDF Full Text Request
I'Let the history foretell the future'. At the entry into 21st century, when we make a review of the history of economic growth, we will be rejoiced to find that the market economy-oriented financial development is of critical importance to the economic growth of any country at any time. However, this does not necessarily mean that the finance development must observe the same mode or path in different countries or during different periods of any country. In different countries or during different periods of any country, the differences in conditions (the level of economic development, institutions, market and technology) for economic growth largely lead to different ways of economic growth. The different patterns of economic growth demand different financial functions that confine the dimension of economic development, namely the financial functional effect. Only in conformance with the demand of economic growth can the financial intermediary promote economic growth and make a reliable foundation for self-development. Otherwise, the finance is unable to promote economic growth or even ruin the mechanism of economic growth because of finance depression or its overgrowth beyond the external conditions. Therefore, financial functions should be studied from the aspect of the demand of economic growth. The relationship between the financial intermediary and economic growth should be investigated from the functional perspective. Then the law of interaction between them can be clearly discerned and the future economic intermediary system can be constructed to promote the steady economic growth in the future. This dissertation is based on all ideas mentioned above. IIThere are four questions to be answered in the study on relationship between the financial intermediary and economic growth from the functional perspective: why the financial intermediary is important for economic growth? How does the financial intermediary play its important role? Is it the case that it has played the important role? What can be done in order to let it perform fully? Centering on these questions, this paper is structured into five chapters besides introduction.The part of introduction is the conceptual base for this dissertation. The functional analytical paradigm, the train of thoughts and conceptual frame of this article is put forth on the basis of a brief review of finance-economy relationship theories. Then the definitions of financial intermediary and economic growth are made and their connotations are also investigated. Financial intermediary means institution of market transaction, a carrier that transforms savings into investment and a bridge that connects the present to the future. The economic growth is a long-term steady growth and its connotations vary with macro-market conditions. Chapter One and Chapter Two mainly deal with the question of 'why the financial intermediary is important for economic growth?'Chapter One: 'the endogeneity of financial function'. This chapter reveals the connotations, basic characteristics, the structure of financial function as well as the endogenous process through which financial function is generated from the division of labor and transaction. Financial functions are determined by correlation between the financial system and external demand. They should satisfy their external demand. The connotations could be recognized as functional relation between the financial system and other systems. This kind of correlation constitutes the main contents of financial functions. The basic characteristics of financial functions are adaptability, dynamic, creativity, stability, hierarch of financial function structure, compliments and replaceability of functions, self-adjustability and conditions on the functional effect; Financial functions are structured into four fundamental functions and various auxiliary ones. The four basic functions are: facilitating transactions, mobilizing savings, allocating resources and encouraging innovations. Compared with auxiliary functions, thes...
Keywords/Search Tags:Financial intermediary Financial functions Financial forms Functional performance effects Functional financial stability Functional financial regulation Economic growth
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