The Relationship Between Financial Development And Economic Growth Of Heilongjiang Province

Today, most countries are in a market economy run, while finance is the core of the modern market economy, the development of each country are inseparable from the development of the financial sector, the level of financial strength represents a strong national core competitiveness weak, any country’s financial sector development will ultimately unhealthy negative impact on their economic development.From previous studies in the literature can be seen as early Western scholars began in the last century on this relationship, forming a large number of theoretical and empirical research. In recent years, with the rapid development of economy, finance plays an increasingly important role, Chinese scholars have begun from the national, regional, provincial and other levels of view, the relationship between the two detailed study. However, in fruitful research results, the research emphasis is on our northern Heilongjiang area, while from the financial scale, financial development and financial structure of the three efficiency perspective, a reasonable choice of evaluation; both financial development around the city, Heilongjiang province conditions, Heilongjiang Province financial development and economic growth little research. Heilongjiang position paper selected object of study, partly because the economic level of China’s Heilongjiang Province, in the middle level, studies the relationship between financial development and economic growth of Heilongjiang province, to other provinces in the middle level of development of our country can play a good reference; On the other hand, Heilongjiang province irrational productivity, financial uneven, is a microcosm of the region’s financial and economic development is uneven, intensive research and financial development of Heilongjiang province, the relationship between economic growth is conducive to reduce regional disparities, help further exploration powerful way to stimulate economic growth of financial development.Based on a lot of reading relevant literature, specifically this two relevant concepts and theories, first of all, namely the status of Heilongjiang Province, finance and economic development were qualitatively and quantitatively explained, while promoting the development of the financial economic growth is weak and slow economic growth to financial development of the two analyzes the status quo relationship between the two. Secondly, we can establish a comprehensive and objective evaluation of the panel data model relationship between this two, the use of Heilongjiang Province, the relevant data 2000-2012 years the empirical analysis of the index by collecting, sorting, filtering, and ultimately got 6 a suitable evaluation of the relationship between financial development indicators, and in the use of fixed-effects and random effects test, the unit root test, cointegration test to modify the model, concluded that, in the measure of the scale of the financial and insurance sector economy Depth indicators for economic growth in the contribution rate of the largest, followed by the banking sector economic indicators depth; the measure of financial efficiency indicators, the gross capital formation in total savings targets for the largest contribution to economic growth rate, savings deposits increased disposable income accounted for residents Indicators followed; savings and loan and deposit rates had a negative effect on economic growth, there is the quality of this can be seen in Heilongjiang Province financial needs further improvement. Finally, the paper argues, should start to establish a diversified financial architecture, optimize credit allocation, improve the efficiency of the financial system in three areas of resources to improve and enhance the level of financial development, and promote financial development in Heilongjiang Province, to better serve the regional economy.