Study Of The Financial Risk Of The Economic Transition Period

In economic transition period, the traditional planning system begins to weaken, but some drawbacks of the original system still exist. The market system channeled in newly has already functioned, but not sound. The new and old systems function at the same time, so the friction and conflict between the two make economical operation unavoidably present some risks. The financial risk is one kind of them. The so-called financial risk is a kind of government economic risk displayed under market economy condition. In the state finance, the controllable factor for various reasons lead the national financial fund to lose and worsen, thus influence the whole state. This economic possibility is financial risk. The problem of the finance safety is one of the most high-level questions of the national economic security. The study on financial risk should arouse the attention from different fields. We should know the reality that our country finance have risk and make appropriate analysis and explanation to the formation mechanism of the risk. This will do good for us to make feasible measure to take precautions against and control the financial risk.The target that this text studies on is the financial risk of our country in transition period. This text starts with the new characteristic (or the questions ) appearing in economical operation of transition period. In this part I summarize the problems existing in the economics in economic transition period, and explain the economic background on that the financial risk appears. Then it is the theory analysis. I define the definition, characteristic of the financial risk and economic effect. This establishes the theoretical foundation for the analysis on the reality of the financial risk of our country in the ensuing chapters. The analysis on the reality of the financial risk of our country is a focal point in this text. The article analyzes the economic financial risk in the period of transition from the financial mechanism, financial system, financial policy and external factors. From the analysis, we can draw a conclusion thatthe financial risk with a certain degree exits. Having finished the analysis of the current situation of the financial risk, the fourth part of this text is the analysis on financial risk formation mechanism. This part concentrates on the characteristic that our country economy is in transition period and analyzes the reason why the financial risk forms fundamentally. The analysis on reason establishes the foundation for the last part of the article. In the last part, this text makes more exhaustive argumentation on the basic principle, relevant policies and supplementary measures of controlling the financial risk. The above is the basic structure and rough content of the article.In the analytical method of this text, I try to combine the theory with practice, with real example and with rations to determine. I Strive to make the article close to the economic reform of our country and the reality of development and make the deduction and the conclusion summed up in theory set up on the foundations of the real example and assumptions corresponding to reality .And I try to use quantitative analysis to state the research conclusion of qualitative analysis as much as possible.