Research On The Transmission Channel Of Monetary Policy Through Stock Market In China

Since the 90's of the 20^th century, the function of the monetary policy transmission through stock market has appeared because the rapid development China's stock market has promoted the change to the transmission mechanism of monetary policy. The main content of this essay is to adopt most empirical analysis and some theory analysis methods to study the behavior of enterprises and residents in the process of the monetary policy transmission through stock market then disclose the current situation and reason for Tobin's q effect and wealth effect in the transmission through China's stock market. In the end, I put forward several policy suggestions on improving our country's monetary policy transmission through stock market. The detailed structure is as follows:Chapter one, I study the transmission mechanism theory of the monetary policy through stock market. Firstly, I analyze the effective meaning on the conditions of the transmission mechanism for the monetary policy, then introduce the general theory of the transmission mechanism through stock market. Finally I discuss the general impact on the monetary policy and its transmission mechanism with the stock market development and the impact on China.Chapter two, I study the enterprises' behavior under the transmission channel of the monetary policy through stock market and analyze the current situation and reason for Tobin's q effect in China's stock market by using the empirical analysis methods.Chapter three, I study the residents' behavior under the transmission channel of the monetary policy through stock market and focus on analyzing the current situation and reason for the wealth effect in China's stock market.Chapter four, according to the empirical analysis results, I put forward my general ideas and some policy advices on improving our country's monetary policy transmission way through stock market. They include how to further develop and perfect stock market, promote the monetary policy transmission effectiveness through stock market, develop the monetary market, strengthen the financial supervision and management, promote the balance and coordination between the monetary market and stock market, and build a multi-level system of securities market etc.