Investigates Of The Relationships Between Return Rate And Trading Volume Of Chinese Stock Market

This paper investigates the relationships between return rate and trading volume of Chinese Stock Market. Empirical analysis is the main method in the paper, and Normative analysis is also used.The paper consists of four chapters. The first chapter is an introduction about the background and meaning of this paper as well as main research methods and framework of the paper. The second chapter reviews theory models in an outside china. The third chapter carries through the Empirical analysis. The last chapter gives the conclusion and suggestion.We find that there is a kind of notable static as well as dynamic interdependence between the trading volume and return rate. Especially, expectable trading volume plays an important role. The trading volume of Chinese Stock Market includes important information about return rate movement, and then denies the validity of Chinese Stock Market. At the same time, there is still great difference between Chinese Stock Market and western mature Stock Market.