Research On The Development Of Financial Differentiation In Megacities In China

The expansion of economy and population is the root cause of the metropolises rapid development in our country.As the core of modern economy,finance plays more and more important core function in the urban economic development.During the China's economic transformation period,the differences between the metropolises of financial industry scale,financial structure and financial function are still expanding.This article tries to find the answers of the following several major problems through defining the connotation of the three different levels of financial differences between the metropolises.First,what is the current situation of financial differences between the metropolises?What is the mechanism of financial differentiation development in the metropolises?Does the stage of financial development also play the key role for the economic growth in China?Secondly,how to match the economic viability and financial structure of those cities?Where is the macroscopic causality in financial structure and economic development of the Chinese metropolises?Thirdly,whether to have rules to follow the metropolises financial function position?Where are the micro bases?Answering the first question,the article focuses on the theory and the present development of China's metropolises financial differences.The reviewed related theory and established analysis framework are concluded that China's metropolises can be divided into the four phases and have three paths of financial development;the second question focuses on the megacities GDP growth and financial development of empirical measurement.Through the statistics measures to analysis how the variables,namely the financial scale and financial structure etc,affect megacities GDP growth.But slightly different with the financial structure research conclusion of traditional market dominant or financial institutions dominant,this paper argues that at present our country administration monopoly and intervention limit the financial markets and financial institutions development for a certain extent,namely megacities financial deepening in our country,also need to break some hindering in the development of financial administrative guidance "inertia".Current financial reform should be in different stage characteristics of the city's economic development as a starting point,in order to enhance the financial support of the real economy transformation as the key point,promote the urban economic structure transformation,keep megacities' financial development and economic growth in a reasonable range;Answering the third question based on the conclusion of the above two studies,puts forward for the construction of financial market system of our country town in the future:the multilevel financial market is built by the government strategy and the good market environment,the relationship between government and market.This paper consists of seven chapters,the first chapter is introduction,the second chapter is the review and summary of the theory,the third chapter is the analysis of metropolises'financial differences in classification;the fourth chapter is the econometrics analysis of relationship between financial structure and economic growth;Chapter five discusses the trend of megacities financial differential evolution.Focusing on the financial function and micro infrastructure construction direction,it confirms the first four chapters of some analysis conclusion from the micro functions perspective;the sixth chapter is the reference of international experience of city development of financial function differentiation;the seventh chapter is the conclusion and policy recommendations.Besides the introduction,the expansion of the concrete for the correlation analysis lists as follows:The second chapter is mainly doing a systematic review about the theory of metropolises'economic growth and financial development,reviewing the research on the development of city financial differences in China.Focusing on the theories of financial development,financial structure,financial function and economic growth,economic viability and financial structure,governance and financial ecological construction.The third chapter carries on the descriptive statistics and classification to explain the inevitability of financial differentiation development of the metropolises in China,mainly analyzed the status quo of China's megacities financial differentiation,causes and mechanism.Summed up that the financial development of the metropolises in China has four stages and the financial differentiation development has three paths.It is concluded that the main bottleneck of the differential financial development in the current China's metropolises is the problem of administrative monopoly which is about the administrative licenses and financial access.The fourth chapter carries on the analysis to the financial structure and the economic growth of the metropolises.Dynamic panel data models with instrumental variable and measurement method of economics are used to analysis the financial structure and economic growth in megacity.The model takes the fixed effect and random effect of single variable into account.The fifth chapter analyzes megacities' micro foundation of financial development,and the trend of megacities' financial differentiation development in China.It points out that the financial differentiation development realize the differentiation by the financial basic foundation,the financial dominant foundation and financial derivative function.In addition,by comparing the megacities match differences between related financial market infrastructure constructions;this chapter tries to examine the feasibility conditions that megacities achieve its financial position goal of micro infrastructure,and summarizes the relevant problems and solutions.The sixth chapter compares and concludes the international experience of financial function generating of metropolises.Through the comparison of international experience,this article summed up the foundation of financial development,and the metropolises region development models are summarized and combed.The seventh chapter is the conclusion of the article;the policy suggestions are putting forward which are aiming at the problem of how to promote the financial development of metropolises in China.When the local government strengthens financial risk management and control,the opportunity of the current financial reform should be grasped,in order to promote the efficiency of the allocation of the financial sector and the real economy,through perfecting the financial service level,to improve and achieve the function of megacities.