A Predisposing Factor Analysis Of The Financial Crisis And Prevention Research

Nowadays, Chinese economic development has shown a good trend, but there are still some defects and weaknesses in the financial running system. Especially after China' s entry to the WTO, these existing weaknesses will become more obvious, and probably convert into the factors of inducing the occurrence of the financial crisis in China. Therefore, this dissertation studies on these factors and the measures to prevent the financial crisis' happening in China.This dissertation takes the intrinsic genetic mechanism and transmission mechanism of the financial crisis as the theory foundation, learns lesson from the experience of financial crisis in Southeast Asia, and at last finds the inducements financial crisis in China, which mainly contain the fragility of the banking system, irrationality of the foreign loans structure and the conflict between the exchange rate system and the opening of the capital item. Among these factors, the banking system has the most serious problems, which are characterized by high non-performing loans ratio, deficient asset adequacy ratio, defective credit management and weak banking corporate governance mechanism. After thorough analyzing these factors, the dissertation puts forward the measures to keep away the financial crisis in China, which mainly focus on the reform of the banking system.