Analysis Of Chinese Financial Vulnerability

Financial vulnerability is the kind of financial state of risky accumulation due to the structural unbalance of financial system and the losing of partial or whole function of financial system. Financial system is the assemblage of a series of rules of social custom, morality and legislations about financial transaction, organization arrangement, supervision and innovation. Financial system is composed of three subsystems, financial organization, financial market and financial supervision. Financial vulnerability is mainly embodied by its three subsystems. The development history of finance demonstrated that the subsystem' s construction of financial system would become unharmonious sooner or later although they may keep in accordance with each other now, if the construction of financial system was not impacted by outside. In recent years, the outbreaks of international financial crises are actually the outcome of the losing of the basic function of financial system.Finance is the core of modern economy .The safety of one country' s economy concerns the safety of the whole economy system. Judging by the present state of our country' s economy, Chinese economy is in the crucial transition period, uncertain factors are increasing. China can not suffer long-term instability and severe financial crisis, which will damage the great accomplishments achieve since reform and opening up; After china' s entry into WTO, with the acceleration of the speed ofopening up, the system' s risks maybe increase , which concerns stability and development of the whole financial system . Therefore, we must carefully analyze the problem of financial vulnerability to ensure the stability and development of finance. At present, the research on financial risk in china is just in the primary period, lacking of systematical and comprehensive research. To achieve the goal of financial stability and development of financial, china should strengthen system construction so that we can find out problems in time, carefully analyze them and solve them by establishing and promptly enacting effective measures.On the basis of the present research on Chinese financial vulnerability, the thesis tries to find out a proper collections of core standards which can reflect the actual level of our country' s financial vulnerability in order to scientifically predict the possible outbreak of financial crisis, and then puts forward a series of precautionary measures of avoiding deterioration of financial vulnerability.Here is the main structure of the thesis as follows:The first chapter mainly introduces the formation and development of the conception of financial vulnerability . the international research on this topic at present and the perspectives from which the thesis analyzes .The second chapter exactly defines the connotation of financial vulnerability by analyzing the inner mechanism which contributes to financial vulnerability, puts forward two hypothesizes form the aspects of banks and enterprises, give further explanation to financial vulnerability .The third chapter gives and introduction about the relationship between the financial liberalization and financial vulnerability by 5 aspects of financial liberalization.The fourth chapter,"on the basis of theoretical analysis in former chapter, analyzes the concrete phenomena of Chinese financial systemssituation.The fifth chapter builds the basis design framework of norm systems, quantitatively analyzes the degree of Chinese financial vulnerability.The last chapter brings forward some effective precautionary measures of avoiding the deterioration of Chinese financial vulnerability by analyzing the present state of our country/ s financial vulnerability.