Study On Structure, Conduct And Performance Of Chinese Futures Broking Industry

Futures market is the advanced status during the development of Commodity Economy and it is an important component of multilevel modern financial system. Being composed of all the futures firms, Chinese futures broking industry is the intermediate link between the futures trader and the futures exchange, at the same time it is the main agent and indispensable key part of futures market. Facing the new historical opportunity and challenge of accession to WTO, Chinese futures broking industry is the determinant of Chinese futures market's development.Based on the perspective of Industrial Organization Theory, this paper makes use of the Structure-Conduct-Performance analytical framework to have some research on the market structure, conduct and performance of Chinese futures broking industry. According to Industrial Organization Theory, it is undoubtedly important that market structure should be taken as the logic starting point of the related studies, after having a review on Industrial Organization Theory, this paper studies some issues such as the market concentration ration and the barriers to entry and exit. On the market conduct, this paper dissertates from the angles of the futures firms' pricing behavior and non-pricing behavior and analyzes the commission discount competition and product differentiation problems. On the market performance, the paper studies the economies of scale and earning capacity of Chinese futures broking industry and analyzes the efficiency problems of futures firms by the way of Data Envelop Analysis method, furthermore, this paper has some empirical research on the relationship of market structure and market performance in Chinese futures broking industry. After that, this paper analyzes the efficient regulation of Chinese futures broking industry.This paper gives some new points of view on the research work about Chinese futures broking industry related issues, for example, based on the Structure-Conduct-Performance paradigm of the Industrial Organization Theory, this paper analysis the market structure, conduct and performance of Chinese futures broking industry, and gives some policy advice on optimize the market structure, conduct and performance of futures broking industry for promoting the development of futures market. At the same time, this paper has some empirical research on the synthesis technology efficiency and scale efficiency issues of Chinese futures firms by the Data Envelop Analysis method and thus makes the comprehension on the futures firms' operating efficiency more explicit and extend the application scope of DEA method in Chinese financial industry more than banks and insurance companies. After that, this paper studies the relationship between the market performance and structure of Chinese futures broking industry by use of the panel data econometric model and tests the Market Power Hypothesis and Efficient-Structure Hypothesis of Industrial Organization Theory based upon the data of Chinese futures broking industry empirically.To have some research work on the issues of Chinese futures broking industry from the perspective of the Industrial Organization Theory, is not only helpful to promote the research on Chinese financial industrial organization theory and but also is beneficial to facilitate the improvement of Chinese futures broking industry and the development of Chinese futures market, so it is of theoretical significance and practical significance.