Support Of Capital Market On The Real Economy Of The West

30years of reform and opening up, China has experienced rapid economic growth,GDP showed an increasing trend year by year, the growth rate has remained at about8%,gradually ran out into people’s living off society. In2013, Chinese economy grew by7.7percent over last year, to achieve a steady growth in GDP reached5.7trillion yuan. Withthe development gap between economic development, Chinese western region and theeastern region and between the gradually increasing, and how narrow the development gapbetween eastern and western regions has become a hot research scholars.This article from the micro, meso and macro three aspects of the impact of capitalmarkets on the real economy of the West runs through the western capital markets andanalysis of the current economic situation, combined with the problems, gives some policysuggestions.At first, this paper introduce the research background, significance and currentresearch. Chinese “the five plan of western development” at the beginning of2012, whenaccess to the formal approval of the State Council, not only has practical significance forthe development of the western region in economic development, but also has morefar-reaching political significance. Chinese and foreign scholars summarize theoretical andempirical research on capital markets, contribute to a more accurate and in-depthunderstanding of a supporting role in the economic development of the capital markets andthe Western sense.Then, the paper introduce the current situation in the western region’s economicdevelopment as well as current problems in the development of the western region’seconomic existence; In Addition, describes some of the conditions of capital marketdevelopment in the western region,the western capital market analyzes problems in thedevelopment and these problems are analyzed.Thirdly, by comparing the characteristics of its own development in the westernregion and the eastern region’s economic development process of contrast, analysis of theclose relationship between the western capital markets and the real economy between thetwo great interactive. In addition, this section were analyzed from three aspects to supportthe role of the capital market for regional economies of the West. First, at the enterpriselevel, as most of the western region scale enterprises are state-owned enterprises, the first abrief introduction about the history of the state-owned enterprise reform; followed mainlyfrom the four-point analysis of the role of capital markets and the impact on business. Thesecond level is the industry, due to the irrational industrial structure in the western region, resulting in leading industries of the western region can not play to their strengths, however,the capital market can provide financial support for the leading industry in the westernregion, promote the optimization and adjustment of the industry, and then to drive regionaldevelopment. At last, in regional economic development, not only for economicdevelopment of capital markets provide a more direct financing channels, but also providea way for the exit mechanism of the market economy in venture capital. Secondly, throughthe expansion of capital, will make rapid economic growth in the region to improve theoverall level of economic efficiency as well as leading enterprises due to the attraction ofthe funds to accelerate its development in the regional economy. Establishment of regionalcapital markets can effectively promote regional economic development. In a marketeconomy, a regional capital market in the region can be used to guide the flow of factors ofproduction resources and to optimize the allocation of resources.Finally, the paper introduces the measures about United States and Brazil underdeveloped areas and financial support to take obtained some experience, in addition,according to the last part of the current development of the western region, learn fromother countries in the development of underdeveloped regions of successful experiencesand practices based on the development of the western region for the shortage exists, inmany ways for the future development of Chinese western region of the capital marketpresents policy recommendations.