Research Based On China's Stock Market Finance And Upgrading Industrial Structure

The theme of the dissertation is "the relationship between stock market financing and industrial structure updating". With respect to the theory that financing in stock market can accelerate the upgrading of industrial structure, this paper first analyzes the theory of industrial structure and finds that the process of industrial structure upgrading follows the path of moving from focusing on the first industry to focusing on the second industry, then finally the third industry. Secondly, the paper analyzes the function of the stock market in three industrial revolutions on promoting the upgrading of industrial structure. Finally, the paper analyzes effect of stock market on promoting the stock new capital allocation function, stock capital allocation function and venture capital allocation function, so as to account for the stock market promote the upgrading the industrial structure.Generally speaking, In the capital allocation, the efficient allocation of capital for the new capital flows to the performance of high-growth industries and high-growth areas. In the empirical analysis, we research the industrial capital allocation and the prefecture capital allocation by using the leffrey wurgle capital allocation model. In the research, the article from the level of economic development, industrial structure and financing to analysis the relationship between stock capital and the industrial structure, finally, we use onintegration to analysis the relation between the stock capital and the industrial structure.Generally, our country's stock capital serious distribution in industries and regions, and our capital allocation are lowly, new capital doesn't flow to the industries and regions which have high growth, those regions which industry structure upgrade faster doesn't get more capital from stock market. Contrarily, those regions which get more capital from stock market doesn't have a high upgrading industrial structure. Therefore, in order to improve the efficiency of capital allocation, china's stock market financing policy should minimize the interference, let the market self-regulation of capital flows, in the upgrading of industrial structure, those areas where industrial structure upgrading faster should get more money support form the stock market. Also, we find out that one percentage point of capital devotion by financing on stock market can promote 0.652832 percentage points of our industrial structure optimization, and the function higher than lending market. Therefore, our government should intensify develop our stock market, and made our country from intermediate-based financial market Convert to capital market leading financial market.