An Analytical Framework On Regional Economic And Financial Development

Because of historical and political reasons, economic development overall arrangement, physical geography, factor endowment, etc. the difference of economic development and economic characteristic among the regions are more obvious. Divide the national economic development circle into two periods, the regional economy has gone through the transition course from the equilibrium development to the non-equilibrium development. With the implementation of reform and opening-up and a series of policies of non- equilibrium development strategy, the disparity on economic development, income distribution are expanded sharply, seriously differences of regional economic development has become the main restriction factor of overall development. Under this background, contradiction, conflict between non- balanced regional development and national economical operation receive the extensive concern of the whole society. Government have sober understanding and already pay close attention to this, implement western regions development and revitalize the old industrial base in the Northeast in succession. Because interests and policy play chess among regions, local government and central government, the central authorities successively proposed accelerating the development of the east and realizing emerges in the middle part, theory circle and policy personage think Cina has already entered new periods of conducting in an all-round way and coordination development. Even so, we should pay close attention to the growth of such low developed areas on the policy aspect. Financial development difference, financial supplying low are important factors of forming the gap of the regional economy, but the government has not put forward the feasible package scheme in the differential regional financial policy, academia and policy-making people even have some doubts to this. So state the mechanism of finance and economy among regions in terms of theoretical, empirical method.Analyses indicate positive correlation relation exists with economy and finance; consistency exists in the financial difference and economic development gap. Define the relation among economy and finance in regions and provinces further, probe into the facilitation of the financial factor in the economic growth, contribute to settle regional economic disparity problem. In view of this, taking the analytic method of historical andlogical, the normative and empirical analysis combined together, draw lessons from domestic and international research results, analyze the function mechanism with economy and finance in provinces and regions, explain relevant results from the difference in the regional financial marketization, in the regional fund self-sufficiency ability and in the regional ownership composition, unified interest policy ,etc.the angle, based on it, draw lessons from developed country, propose the imagination of our regional financial policy.This main body of this paper is composed of five parts besides the foreword.First part: Document survey. Bring forward the analysis visual angle based on domestic and international relevant research results. Regional economy development theories research the universal law and regional policy problem; have established the theoretical foundation of studying the regional economic development difference. However, the existing regional economic theory has not touched upon the financial system influence on economic. Financial development theory further investigate relation the finance and economy in terms of the theoretical and empirical angle, thus to offered the general theoretical foundation for analysing the economic disparity question from the financial visual angle. The domestic and international study on China's finance development problem, concentrate on the dispute of the economic and financial relation of the national aspect, because of data collection insufficient, sample scale small and limitation to discipline of view, the discussion about the relation between regional economy and finance have been formed enough scale documents. There are some blanks in theory of probing into differential regional financial policy arrangements. Owe to this, observes the causality relation between the economic disparity and financial disparity through econometrical method, with province and region angle.Second part: measure the difference of economical growth and financial development in our country. What we are interested in is whether economic gap of development and financial gap of development have inner link? So weigh the economic and financial gap of development in the coefficient of variation and the Theil index, from the difference among provinces, the difference among regions and the difference in the region, etc. probe into the change of economy and finance gap of development, observe the complicated logic causality between them.. The quantitative analysis shows: The gap of economic development and financial development present unanimous change relation, and financial disparity is greater than economic disparity. Therefore thebasic judgment drawn is that the financial factors is one of logic reasons of the economic disparity, the FDI policy of eastern area go ahead of rapid growth of economy, it is like this on the beginning condition at least. In addition, because of the inertia of the scheming finance, the variable of the state-run financial department supplies behavior is a kind of external variable.The third part: analyze the mechanism between economy and finance in provinces and regions through Granger test and multiple regression analysis, in realistic economical operation, the relation between them is supply-leading relationship or demand-following relationship. Adopt Granger test to judge the relation between economy and finance of provinces in our country, find clear financial development statement through multiple regression analysis method analyze relevant characteristics between them further. The results indicate, the finance in the east grows up to endogenous state, and the middle and west regions are inclined to the external state; Under the terms of model, the influence that the finance exerts on economic growth in the east is weaker than in the west; The interest rate policy result in the east is superior to that in the Midwest. This reflects, to a extent, even if the financial variable can explain the economic variable effectively, the western region is " quantity leading type", but" efficiency leading type " in the eastern region.The fourth part: analyze the causes of mechanism between the difference of economy and finance in provinces and regions. The causes of development difference among regions is due to finance deepen, financial marketization, financial structure, etc. different respects mainly, and the influence that the finance exerts on economic growth in the east is weaker than in the west don't means function of financial development in the east is faint to west at cause and effect logic of fact, not proving even that the bank in the east is not so good as in the west on the fund service efficiency, but the self-sufficiency ability of the eastern fund is superior to the west, The growth engines is mainly accumulating oneself and foreign direct investment (FDI ), what's more, this kind of situation is accumulated with the constantly intensive trend. The main reason the second conclusion are the implementation of the preferential policy in the east and the difference of financing system, under the state-run generality characteristics of the state-owned enterprise and state-run financial intermediary, the self-sufficiency ability of the regional fund has determined the economic vigor and growth rate of this area directly. Because the factor of eastern region exerts on macroscopically economical...