Institutional Analysis On Financing Of Chinese Private Enterprises During The Transitional Period

China takes the gradual reform strategies in transition, private enterprises have initiated and developed just in the gap of institutional adjustment, when the output of state-owned and collective enterprises has slowed down in the recent years, private enterprises have contributed to economic growth greatly and in the mean time they have promoted the evolution of multiform ownership structure and marketable transition. However, private enterprises have been restrained strictly by difficulties in their financing. Not only they can't gain financial support from formal financial system , but also they lose informal financing channel with the strengthening of financial supervision, which has already played an important role in private enterprises financing but hasn't got legal position yet. Therefore, it is a pressing matter for the moment to solve the problem of private enterprises financing in order to improve their contribution to economic development.In view of this, this thesis researches the private enterprises financing from the logic of transition. Because transition not only results in the development of private enterprises, but also results in imperfect system, which is the essential cause of private enterprises financing trouble. Therefore, the study on the private enterprises financing from the transitional logic and institutional change angel is of great value in the sense of both the theory and the practice.The main body of this paper consists of four chapters:Chapter 1 elaborates the theoretical framework of this paper, that is the logical background of economic transition and the perspective of institutional change. After the author reviews the dynamic of private enterprises financing study both at home and abroad, analyses the relationship between economic transition and institutional change theory and defines financial institution in this paper.Chapter 2 presents the financing situation and financing predicament of private enterprises .The governmental policies which support private enterprises can't solve their financing problems thoroughly. The essential cause which results in private enterprises financing difficulties is the imperfect institution during the transitionalperiod.Chapter 3 is the core part of this paper. The author elaborates the causes of private enterprises financing difficulties from the view of institution. There is ownership-based discrimination to private enterprises in the formal financial institution; The informal financial institution can't continue to support private enterprises because it is gradually cancelled by government recently; Imperfect credit guarantee system can't offer good service for private enterprises financing; From the view of financing individuals, the disadvantage of private enterprises has also been an important factors.Chapter 4 proposes the solution of institutional innovation for private enterprises financing. Nongovernmental financial sectors should be set up in order to build financial system with multiform property rights; Capital market should be innovated in order to provide direct financing ; Credit guarantee system should be improved to offer good service ; Private enterprises should also take reforms to become a certified financing individuals.The characteristics of this paper include the following:(1) putting private enterprises financing into the background of transition and analyzing the subject from the view of institutional change, but not from the view of financing technology or simply analogizing the solutions which are used to involved financing problems of foreign enterprises.(2) classifying the financial institution as formal financial institution and inform financial institution.(3) using credit rationing theory to explain the function of credit guarantee system in private enterprises financing.