Enhance The Network Economy And Efficiency Of The Banking Sector

This paper bases on the internet economy described its characters, meaning and form on one hand, at the same time analyzed traditional finance theory and system's changes in the banking internet economy and management of banks facing the challenges, on the other hand analyzed the low efficiency reasons of banking internet economy market using economic theory, and then gave a suit of relevant supervisory methods.First, this chapter introduced the internet economy trace to the source, conception and its meaning. And it expounded further the banking internet economy and its form. Second, from two aspects analyzed traditional finance theory and system's effects in the banking internet economy and management of banks facing the challenges. I think, the particularity of banking decides it has a natural relationship with internet, so the banking internet economy is brought bases on the internet technology by it. Although the banking internet economy is still on its rudiment, it has brought out powerful vitality and infiltrative. The first pure internet bank was born in the world only has short eight years until now, but its impact to the traditional economy is never saw before , also it brings forward enormous challenges to the traditional finance theory and system. Chinese banking also try its best to prepare to encounter the mighty foreign banks' entering to China. Our banks have not far from international level in internet hardware's establishment and technology, but it has a quite shortage in banking internet economy market's setting up, cultivating and supervising. At last, Use economic theory analyzed and brought forward a question, that the internet economy is the immanency of banking in high efficiency running, but it formed contradiction with banking in low efficiency running at present. Then the paper gave a suit of relevant supervisory methods.