The Effect On Credit Channel Of Our Country’s Monetary Policy Caused By The Changing Of The Social Financing Structure

Since the reform and opening, the financial market of our country has kept a rapid development. The reform and enrich of the financial system has played a vital role in ensuring the efficient operation of our financial system and promoting the real economic growth and social sustainable development in China. In recent years, along with the innovation of a variety of financial instruments and financial products, the development of financial institutions and the diversification of financing channels, the financial system in our country has been greatly enriched. The social financing scale also has a obvious expansion. The traditional way of financing has also been gradually transforming to the innovative financing way which was adapted to the market economy in the process. Great changes have taken place in our social financing structure. The core of the financial system is social financing structure, and the financial system is an important medium of monetary policy on the real economy. It can be seen that as the change of social financing structure affects the implementation of monetary policy environment, it will also affect transmission mechanism and effect of the monetary policy. Therefore, the study of the change of social financing structure’s impact on the transmission of monetary policy, on one hand is a problem that the macroeconomic theory policy need to study and attache great importance to. On the other hand, It is also a important topic that directly impact the macroeconomic control goals and effect of our country’s monetary policy in the economic practice. It is thought that transmission channels of the monetary policy mainly can be divided into interest rate transmission channel, credit transmission channel, exchange rate transmission channel and financial asset price conduction channel. This article will focus on the research of the effects of the social financing structure changes on the credit transmission channel of our country’s monetary policy.This article regards the change of social financing structure as the breakthrough point.It does a specific research on the concept the component and the development course in recent years of the social financing structure. It analyzes the effect of the social financing scale changes on credit transmission channel of the monetary policy. Firstly from the point of theory research, this paper analysis that the change of the social financing structure is mainly reflected on the change of the proportion of direct financing and indirect financing. Through the theoretical analysis we can have a conclusion that the change of social financing structure can weaken the effect of the credit transmission channel of the monetary policy to a certain extent. Then we make a empirical analysis research through a large number of economic data linking theory with practice. We use two interval period of quarterly data from 1996 to 2001 and from 2002 to 2013 to construct a spatial economic model. With the proxy variable of the social financing structure, the effect of change of the social financing structure on the credit transmission channel of our country’s monetary policy was analyzed. It is found through the empirical study that the change of social financing structure make the credit transmission channels of monetary policy blocked to a certain extent. The effect of the transmission is weakened. It is basic consistent with the previous theoretical analysis.Finally through the analysis of the theory and practice research above, we summarize the full text and have a relevant conclusion. Combined with the background of current changing social financing structure and around the possible problems in the process of regulation of monetary policy, regarding optimize the operation of the monetary policy and improve the validity of monetary policy as the starting point and goal, we propose some relevant policy recommendations to enhance the effectiveness of our country’s monetary policy. One is to set up a new intermediary target system including the variable of the social financing scale. The second is to vigorously develop the bond market and promote the development of direct financing in the capital market. The third is to deepen the reform of the commercial bank system and dredge the credit channel of our country’s monetary policy.