The Research And Empirical Analysis On The Relation Between Financial Development And Economic Growth

Researches of the relationship between economic growth and financial development now become to be more and more appreciated. Scholars abroad studied more earlier, they used model research and empirical study and other approaches, found economic growth and financial development with positive relation, financial development promoted economic growth. Compared with researchers abroad, scholars in China took more attention on empirical study, and were not systematic, the angles were also nation-state.This paper used the experience of other correlative documents for reference, adopted theory analyse, model analyse, and empirical study, represent the impact of financial development to economic growth, analyze the features in the impact process, like time-vary and area-vary features. Moreover, give some advice. After study, penman found, in China, financial development indeed has positive impact to economic growth. Especially in VAR model which use monthly data, penman found financial intermediary development and structure optimization, also stock market development, all had good impacts on economy, meanwhile the time-vary and area-vary features existed. But there was an imperfection, in China, the impact of financial development more revealed as amount but not efficiency.The paper composes with six parts. The first part is documents overview; the second part is about effect mechanism of financial development and economic growth, involves financial institution functions, impact channels and so on; the third part is model research; the forth part condition analyse of economy and finance, with more pointers; the fifth part is keystone, empirical study, use Cointegration, Granger test, VAR model and Panel data model and so on; the last part gives some advices.