An Empirical Study On The Contribution Of The Regional Economic Development To Rate Of Return On Common Stockholders' Equity

With the rapid development of our economic, the economic policy is changed from "to allow people from certain regions to rich early, and the one who has been rich should help others" to "to build a harmonious society". So today the most important thing that we face in the process of promoting the economic growth is how to narrow the regional gap of economic growth and maintain regional economic growing by a rapid speed.Listed Companies, as a new force of economic entities, is playing a more and more important role in the process of promoting the economic growth. However, the profit of listed company is different in different regions. In the more developed areas, the effect of their economic growth rate to Rate of Return on Common Stockholders'Equity is more obviously, and its Rate of Return on Common Stockholders'Equity is higher. However, in the least developed areas, the effect of their economic growth rate to Rate of Return on Common Stockholders'Equity is not obviously, and its Rate of Return on Common Stockholders' Equity is lower. Specific speaking, in the more developed areas, as in North China, East China and South Chian, regional economic growth has a certain role in promoting ROE. However, in the less developed areas, as in Southwest and Northwest, the relationship between regional economic growth and ROE is not obviously.Therefore, in order to promte the development of stock market, the most important way is to raise the level of economic growth and combine with the characteristics of each region. To achieve it, the first thing we should do is to reduce the gap between inter-regionals and other regionals, and to construct leading industry. In this way, the economic growth of our country will be more health and sustainable.