The Empirical Study Of The Financial Input-output Efficiency Of The Major Cities In China

Over the last decade, the economic development of most cities in China benefits from the improvement of their financial system, which makes a lot of cities put forward the idea of financial center construction to occupy more financial resources for the local economy. But the occupation tends to ignore the level of the local economic and financial development, the level of the city’s financial input-output efficiency and the level of financial input’s concentration and radiation. This kind of gathering together financial resources is hard to efficiently contribute to the local economy, which not only causes the waste but may trigger a financial crisis as well.We believe that a key to solving this problem is to accurately measure the city’s financial input-output efficiency and figure out the key factors affecting this efficiency, then target on these factors to improve the financial input-output efficiency and make the financial input more effectively promote the local economic development. Based on the principle that the financial input must serve the real economy, this paper mainly measures the financial input-output efficiency of the major cities in China. Specifically, the paper firstly gives the definition of the city’s financial input and financial input-output efficiency, and accordingly analyzes the characteristics of the two concepts. Secondly, based on the research above as well as major cities’current state, we build the measurement model for the city’s financial input-output efficiency and thus give a specific measure steps. Then, in order to measure the efficiency, the paper further measures the level of the city’s financial input by constructing the index system and the weighting this system. Fourthly, on the basis of the aforementioned studies, the paper calculates the China’s major cities’financial input-output efficiency, comprehensively analyzes these results and puts forward the recommendations and suggestions to promote the city’s financial contribution to the real economy.Based on the major cities’financial input-output efficiency measured in this paper, we can draw the following conclusions:(1) the more quantity of financial input is and the higher level of financial capital’s concentration and radiation is, the better the financial input-output efficiency is, such as Guangzhou, Nanjing, Dalian, Tianjin, Chongqing and so on; (2) China’s coastal regions’financial input-output efficiency is generally higher than the central and western regions’, and the efficiency of the cities in central area is better than the western cities’relying on the "Rise of Central China" strategy; (3) the quantity of financial input in Beijing, Shanghai and Shenzhen is more than that of other cities, which can make their financial systems better serving the real economy across the country.