The Research On The Influential Factors Of Private Investment Efficiency

Along with the development of the socialist market economy in China and, more and more attention of the folk capital investment by the central government, the scale of private investment increases rapidly, gradually becoming new pull of China’s economic growth. Although private investment acquires rapid development, at the same time, the overall level remains low, the district distribution is not reasonable, and the investment efficiency needs to be improved and so on. In addition, under the background of increase of instability factors of current economic development and the weak global economy, the decline in the economic growth in China is also facing huge pressure. Therefore,this article will analysis the influence factors of the folk capital investment efficiency systematically,on the basis of scientific measurement of the folk capital investment efficiency, providing theoretical support for improving the private capital investment environment,and promoting the development of Chinese economy running smoothly and quickly.This paper firstly combes the connotation of the concept of correlation, and then reviews the historical process of development of the private capital. And on the basis of the comprehensive analysis of the national folk capital investment proportion, trends of folk investment and the growth rate of investment, this article preliminary explores the present situation of private capital investment in China, as well as the problems existing in the development. Next, on the basis of the data from1997to2012, using the Incremental capital-output Ratio (ICOR) and DEA-Malmquist full production index to measure the folk Capital investment efficiency of the national31provinces and cities, this paper comparatively analyzes the ICOR of eastern, central,western and the overall in the country, and researches DEA-Malmquist index total factor production index. Moreover, with the panel data, this article selecting eight indicators as independent variables, respectively the ICOR and DEA-Malmquist total factor production index as the dependent variable, conducting two multiple regression, researches specifically the influencing factors of folk capital investment efficiency of our country. Finally, this paper puts forward relevant policy Suggestions to improve the efficiency of private capital investment in our country. Previous research on the folk capital, mostly focused on the qualitative analysis of the current situation and existing problems of private capital. Although in recent years, some scholars are beginning to study folk capital investment efficiency, they only use incremental capital-output ratio, or Computational Methods. Only a few scholars use DEA data envelopment analysis to calculate the folk capital investment efficiency, but rarely combined two methods to measure the folk capital investment efficiency more comprehensively and scientifically. The study of influencing factors, are more focused on the analysis of private investment, and research on the folk capital investment efficiency are very low. In consideration of present situation of the development of private capital, this paper makes full use of the method of the qualitative analysis and quantitative analysis, to calculate the folk capital investment efficiency of31provinces and cities in our country. Besides, from two perspectives, this article conducts multiple regression analysis of influence factors. This paper takes not only the number of private capital development, but also its quality development into consideration. In this paper, the research has an important guiding significance to the progress pf management and technology of China’s private investment. At the same time, in view of the active national policy background of the development of the folk capital, for the local government, how to develop the folk capital reasonably, in order to achieve the optimal configuration of resources, is of great significance.