The Correlation Analysis Between The Regional Financing Channels,Financing Efficiency And The Regional Economic Disparities

Since the policy of reform and opening up, China's regional economic disparities were growing wlde, showing obvious developed regions in the east, underdeveloped areas in central and western regions.the wide of regional disparity is an indisputable fact , but it causes a lot of explanations, different scholars from different angles of the reasons for this trend. The followings are the main reasons for regional economic disparity : historical reasons and cultural background, layout and location, quality of the population, the degree of marketization etc.The paper discuss the phenomenon of the regional widing economic gap between east,center and west, and from a new perspect ,that is, the financing channels and financing efficiency to explain the economic gap. Furthermore, through sub-financing channels, mainly from the financial,credit,foreign investment, saving of oneself to construct of regional funding level and the evaluation system, and multiple linear regression models to calculate the financing channels of the contribution to the GDP growth rate of the three regions.According to the《China Statistical Yearbook》(1978 --- 2006), the《New China 50 years compilation of statistical information》, the financial website and local statistical Yearbook (after 1999) , the East ,Central and West in fixed assets in the financial, banking, foreign investment and financing since 1991 --- 2005 years. we analyze the changes in the market and the financing of the financing difference. And further investment in fixed assets from the finance, banking, foreign investment and financing from four sources of funding construction of regional financing and financing level performance evaluation system. Then, through the expansion of O'Brien - Douglas production function of the establishment of multivariate regression model, validation: the financial investment in fixed assets, loans, foreign investment and self-funding led directly to the regional differences in economic growth. Through theoretical and empirical analysis come to the following conclusions:①the eastern part of the financing level higher than the central and western regions, this paper presents conclusions and consistent with the assumption 1②the eastern part of the market was higher than that of financing the central and western regions, the central and western regions of the financing level higher than the eastern region, this paper presents conclusions and consistent with the assumptions 2. ③central financing about performance than the eastern region, the western financial performance minimum. Since 1996 the financing of the eastern and central regions after the performance and financial performance of the western region was growing trend. This paper presents conclusions and assumptions 3: performance than the eastern part of the financing is not fully consistent with the central and western regions.④market financing (loans, foreign direct investment, since financing), and financing the building of the local economy in the eastern part of the financing of the contribution rate of GDP growth are high, the Financial financing contribution to the GDP growth rate of the western region is also very significant, this paper presents conclusions and 4 assumptions: the financial investment in fixed assets, loans, foreign direct result of the self-financing and the region's economic growth in line with the basic difference.Finally, rationalization proposals are given from the institutional arrangements for financial reform and economic growth pattern in central and western regions, a regional fiscal policies for the effective use ,policy-oriented banks increased support to the development of the central and western regions.