The Empirical Study Of Capital Market Development And Industrial Structure Optimization

Since the reform and opening up, the economy of Shanxi which depends greatlyon heavy industries such as coal, iron and metallurgy has achieved rapid development,economic aggregate and scale has expanded constantly;people’s living standard hasimproved significantly. With the change of social demand structure, depletion ofresources, deterioration of environment and substitution of new energy, combinedwith national policy restriction on development of high energy-consuming industry,original economic growth of Shanxi cannot promote development of the economy,and it will be a factor holding back economical quality. A new path towards economicdevelopment must be found consequently that can change the present industrialstructure and economic growth.Capital market, as an effective place that enterprisescould raise money, has optimized allocation of resources, sped up flow of productionfactors. Obviously, accelerating development of capital market can not only providean operation mechanism and funding support for optimization of industrial structure,speed up optimization of industrial structure, but also promote the further economictransition.On the background of such economy, the article focused on capital market,has an exploratory research on promotion of Shanxi capital market to the optimizationof industrial structure, is aimed at establishing the perfect capital market to promoteadjustment and optimization of the industrial structure, rapid and healthy economictransformation and development.This article based on the theory. In the first, combined with the relevant theoriesof capital market and optimization of industrial structure and analysis of capitalmarket development role in optimizing industrial structure, holds that capital marketprovides operating mechanism and innovation for optimization of industrial structure;promotes growth of the core enterprises and leading departments; provides thewithdraw mechanism for adjustment of declining industries; realizes the change ofindustrial capital and adjustment of industrial structure, achieves the goal ofoptimizing industrial structure. Secondly, it selects the data of GDP of Shanxi Province, output value of three industries, the amount of equity financing and mediumand long-term loans from1996to2012. Analyses the current situation of capitalmarket and industrial structure of Shanxi Province. The serious imbalance exists inindustrial structure that the proportion of the second industry is too large, the first andthe third industry is too low. In order to realize the optimization of industrial structure,we must strengthen the first and the third industry, especially the development of thethird industry. Therefore, it takes the ratio of the sum of both the first and the thirdindustry to the GDP as a measure of the rate of optimization of industrial structure,the ratio of the amount of equity financing and medium and long-term loans to theGDP as an index of the development of capital market. Once again, with the aid ofrelative econometrical model, it concludes that there is a long-term and stablerelationship between the scale of financing from capital market and optimization ofindustrial structure.And a lag of a further three periods upgrading industrial structurefrom development of capital market through an empirical analysis on the scale ofcapital market financing in Shanxi and the optimization of industrial structure.Eventually, it suggests further perfecting the development of capital market, enlargingfinancing scale, adjusting Financing structure, Strengthening legislation andgovernment regulation to promote development of the third industry based on thehi-tech industry, improve the force of the optimization of industrial structure andpromote the sustained and stable development of the economy of Shanxi Provinceaccording to the empirical studies.