The Research Of The Mechanism Of Transformation From Savings To Investment In China

Since reforming and opening, China's savings has gone up rapidly, at the end of 2006, China's total savings deposits of urban and rural residents has reached 16.15873 trillion yuan. It is undeniable that such a high level of savings provides a huge capital backing for economic development, but if we go back to see the course of economy d- evelopment of our country, on the one hand, we brought in huge foreign investments every year, on the other hand, it had a phenomenon of continued domestic savings su- rplus. This phenomenon reflects the fact that the transformation from savings to invest -ment is inefficient. Furthermore, due to the mechanism of transformation is imperfect and it has almost one single channel, large savings accumulates in the bank, this incre- ases the risk of bank. Based on the current phenomenon in our country, I believe, the study of the mechanism of transformation from savings to investment and to find out the problems existing in the mechanism, then to construct a perfect mechanism and to improve the efficiency, has great significance to China's economic development. Ref- erring the traditional theory about transformation from savings to investment and inte- grating the present status of our country, this paper gives detailed analysis about the c- urrent efficiency and mechanism of transformation from savings to investment. This paper is divided into four chapters, the structure is as follows:The first chapter introduces the basic theory about the transformation from savin- gs to investment, the economics concept of savings and investment, the types of the m -echanism and the practical significance of the study of the subject; the second chapt- er gives a detailed empirical analysis about our country's present transformation effic- iency and mechanism referring to lager amount of current and historical data, and co- ncluding that transformation from savings to investment is inefficient at present and the transformation mechanism is imperfect; the third chapter is focus on the problems existing in the transformation mechanism and to find out the root of the problems; the fourth chapter tries to find ways to solve the problems, gives some policy and practic- al operation recommendations to establish a high efficient transformation mechanism from savings to investment.The main innovation of this paper is:First, new angle and method. Concerning the problem, many scholars had done deep study, but their study almost focused on the scale or the source of capital. Later although many scholars did study on the efficiency and mechanism of transformation, but just on theoretical level. This paper analyzes the problem from different angles, c- ombining the methods of quantitative and qualitative, providing a detailed analysis to the problem. Second, citing an abundance of actual and historical data, using more tha -n ten pages to give detailed empirical analysis. Third, this paper analyzes the problem according to actual conditions, combining theory and practice closely. It gives a systemic and overall generalization and pro poses not only on the theoretical level, but also on the practical level.