Research On Financial Deepening With The View Of Interest Rate

Since getting into WTO, the process of Chinese financial deepening should accelerate for the reason of the improvement of degree on financing open and aggravation of Competition pressure. While, the problem is that the international popular financial deepening index is not fit, what is the dependence of deepening degree? The paper try to study from the view of deepening object, especially interest rate marketization, make an analysis among interest, corporation, bank and exchange rate, then make use of PPP to accelerate Chinese financial deepening.First, the paper expounds the internal relation between financial deepening and interest rate marketization, confirms the availability of the view. Secondly, on the basis of defect in hand, make a break on the view that reformation about corporation and bank is the base of interest rate. Then, study the correlation among them, analyze the promotion from interest rate, get a conclusion that there is no simple relation among them. Finally, compare the radical reformation and gradual reformation, introduce a conception called "parallel partial progression", and confirm the applicability of "PPP" ideally. On the basis of "PPP" model, paper takes the view of cost and profit, makes a primitive mathematical analysis on a "four department financial deepening " model and verifies the result.One thing should be pay attention to is that reformation's effect is depend on the departments' accordance, more numbers, better effect. Meanwhile, there is a close relationship between incipient velocity and cost-profit coefficient, it means that if cost coefficient and profit coefficient are the same, it's better to use more-process acceleration. If not, more-process deceleration is better.