Empirical Study On The Evolution And Effectiveness Of Financial Regulation Theory

How to prevent and respond to the abnormal development of the financial system, and the triggered negative economic effects, has always been a major issue that influences the financial security of the world. In particularly, with the deepening economic and financial globalization and accelerating financialization, it requires people to research the financial regulation beyond the scope of national boundaries. Therefore, it will be a very valuable and challenging task that studying the evolution of financial regulation theory, and analyzing the interaction between theory and empirical effects of financial regulation.The aim of my thesis is to make an empirical study on the evolution and effectiveness of financial regulation theory. Based on well-collected relevant information and data, the author made a qualitative analysis and an empirical study on the evolution and effectiveness of financial regulation theory. Firstly, applied with the evolution of financial regulation theory, the author explored its origins from three perspectives of economics, law and ethics, and also discussed its characteristics, advantages and disadvantages of all phases. Secondly, using the method of cost-benefit analysis and least squares, the author made an argument about the effectiveness of public interest theory and prudential regulation theory ,and finding that market discipline and independence of government regulators are key factors to the effectiveness of financial supervision. Lastly, under the guidance of financial supervision theory, the author proposed three suitable proposals to promote the effective of China's financial supervision: changing the form of government intervention,strengthening market disciplines, strengthening the regulator, designed to provide a new thought for enhancing the effectiveness of financial supervision.