The Influence Of Yangtze River Delta Regional Financial Development Towards Economic Growth Based On Empirical Analysis

Social development and political stability are on the premise of economic growth. Exploring reasons for economic growth and taking some measures to enhance the productivity are always the focus of theoretical attention. The researches hold the view that accumulation of factors of production, enhancement of resources allocation efficiency, technology progress, system development and religious faith are important elements influencing the economic growth. In recent years, economists pay more attention to the contributions of financial development to economic growth. According to the theories on finance and economics, as the financial market develops, the capital socialization has been promoted, which further reduces the enterprises' fund raising cost. The increasing fund raising proportion can bring about the fulfillment of efficient resource allocation. With the financial market development, most manufacturing and operating units practice capital accumulation, transfer, and transaction, and realize scale effect. To sum up, finance promotes capital flow, can optimize resource allocation and boost capital production, thus contributing to the economic development.The Yangtze Delta is one of the zones developing rapidly in China. However, facing the competition, the Yangtze Delta is confronted with how to make finance play a full role in economic growth. Using financial development and economic growth theory, paper, from the financial development perspective, reveals the mystery of the Yangtze River Delta economic growth and analyzes the correlation, causation on Yangtze River Delta regional financial development and economic growth.The paper is divided into 6 parts that can be summarized as follows:Part 1 includes the background, significance, research on the status quo at home and abroad and framework.Part 2 not only systematically looks back correlative theories about financial development and economic growth but also explains the relationship, internal mechanism between regional financial development and economic growth.Part 3 with regional financial theory,on the Yangtze River Delta regional financial development and economic growth of the status quo,describes the development of the Yangtze River Delta regional financial impact on the economic growth of the historical evolution.Part 4 concretely analyzes financial development and economic growth of the Yangtze Delta by means of the demonstration, expounds the role of financial development of this zone in the past over fourteen years. Through respectively analyzing the relations between financial system and economic growth, the author draws relevant conclusions.Part 5 according to the fourth part of the conclusion, points out some problems such as enhancing regional financial cooperation ,furthering development of the stock market .Part 6 puts forwards some suggestions from four respects.