Financial Depression And Export Trade Structural Adjustment

Since reforming and opening, export trade has been developing rapidly, China's total exports jumping to the world's No. 1 in 2009. But the sudden financial crisis and trade protectionism bring enormous challenges to China's export trade. The problem of irrational export trade structure highlights. In the global value chain system, we are in a low-end area of "smiling curve" .Export trade of goods mainly contains low value-added, labor-intensive products. Proportion of high value-added products and high-tech products is still too small. Development of small and medium export enterprises, private enterprises and high-tech enterprise meets with bottlenecks.There are many factors leading to irrational structure of China's export trade, and financial repression is an important aspect. This article divided the export trade structure into export trade commodity structure and management structure of export trade, empirically testing and mathematically analyzing relatives of financial repression and export trade structures. Employing VAR models Co-integration, Granger causality test and impulse response function, this paper empirically analyzes relations of financial repression and commodity structure of export trade. The conclusions are got from the above discussion in this paper as following: no evidence supports causality between the real effective exchange rate of the Renminbi and the composition of export commodities, which means current exchange rates do not play a guiding role in the adjustment of the composition of export commodities, and some evidences support unidirectional causality between the financial scale and efficiency and the composition of export commodities, which is displayed by the enlargement of the financial scale and the improvement of the financial efficiency is benefit to the optimization of the composition of export commodities. Through the four stages of reform, China's management structure of export trade has made great achievements in diversity, but the problem of the management optimization and coordinated development still exists. In this paper, the mathematical analysis, which based on financial data of 996 export trade enterprises from 2001 to 2008 year, with panel data analysis shows : Financial repression inhibits development of private export enterprises, small and medium enterprises and high-tech enterprise. Based on the above analysis, the paper proposed specific measures and policy recommendations of export trade structure optimization from the perspective of financial development. Interest rate marketization reform and improve the efficiency of credit allocation; Establish small and medium-sized financial and meet the financing needs of small and medium export enterprises. Innovate financial tools and optimize the structure of financial ecology.