The Studies On Capital Market To Support Economic Development Of Henan

Through more than 20 years’ growth and development, Henan capital market gradually expanded, its financial functions increasingly improved, it supported Henan’s economic development. But compared with the economic status of Henan province, and the urgent building needs of the Central Plains economic Zone which led by Zhengzhou Airport, the capital market’s supporting has not been fully exploited. The degree of utilization of capital market in Henan economic development is not enough. There are still many problems in the support-driven process. Therefore, under the construction background of the Central Plains Economic Zone which lead by Zhengzhou Airport, doing research on how to expend the function of capital market to economic development has theoretical and practical significance.The research topic of this article is "Capital market to support economic development in Henan ". The technology roadmap of this article is " Theoretical basisâ†'Situation analysisâ†'Problems analysisâ†'Causes analysisâ†' Suggestions". First of all, this article defines the concept of economic development and capital market, and describes the theoretical basis of the study. This article’ research focus is the situation and problems and the causes of capital market to support economic development in Henan. In the end it proposes some targeted solution strategies. There are six chapters in this paper. The first chapter is an introduction, it introduces research background and significance, ideas and methods and journals reviewed, etc. The second chapter is the theoretical basis, including the definition of core concept, regional economic development theory, the functions of capital market and the interaction between economic development and capital market. The third chapter is to analyze the supporting status of capital market, it states whole situation with theoretical level and then it uses empirical model to verify. The fourth chapter analyzes the problems, including problems in the size of capital market, listed companies, bond market and the futures market. The fifth chapter is the causes, it points out the reasons for upper problems, the causes are using not enough, Environmental imperfect, the shortage of talent and so on. Last chapter is suggestion, it proposes some suggestions from greater use, listed companies, bond market, futures market and optimization aspects of the environment. All these suggestions will promote capital market’s support to the economic development of Henan.This article has two main innovation points: Firstly, establish a special public welfare agency. Clarify the functions and the form of services and reward of this agency. This agency can provide financial support and business management and listing service for companies. This agency can accelerate the process of companies’ listing. Secondly, through theory and empirical analysis, we know the capital market can support Henan’s economic development in some degree, but the support effect is not enough. So we should attach great importance to and make full use of the capital market’s strategic support effect in order to improve the industrial structure and develop Henan’s economic.