A Study On The Regional Differences Of The Influence On Money Supply To Investment And Consumption

China is an undoubtedly huge country. The gap among regional economic development is getting widen with the high-speed development of national economy and the constant enhancement of citizens’ living standard. As a total-control policy, monetary policy is necessary to the nationwide unity. However, the monetary policy of one size fitting all seriously neglects the huge gap between the regional economy and finance as well as the imbalance of regional investment and consumption. It reduces the effectiveness of monetary policy and widens the gap of regional economic development. Therefore, it is urgent of Chinese currency policy to realize the high attention on the regional economy by unified currency policy and to positively seek the adjustment on the imbalance of regional structure of currency policy.Based on such a grim economic situation, this paper focus on the reality.on the basis of learning from different scholars about the regional monetary policy views and theories, the paper begins to analysis the structure of monetary policy via credit transmission in various regions of China.China will be divided into three regions in this paper, Select credit, Investment in fixed assets, Total retail sales of social consumer goods and money supply to establish the measurement model,then analysis. Paper will study the conclusion that there are significant differences in the effect of China’s monetary policy through the credit transmission channel. Based on this evidence, and combined with China’s economic development situation, the thesis analysis of the reasons for the establishment of the empirical conclusions.Finally, it proposes that government should promote regional financial system, implement differentiated credit policy and other monetary policy tools and Promote the structural reform of the People’s Bank of China branches in major districts.