Empirical Study On Factors Affecting Credit Transmission Mechanism Under The Background Of The Interest Rate Liberalization

Credit transmission mechanism means that under asymmetric information, and credit conditions are not perfect substitutes, financial intermediaries play an irreplaceable role in the market, the central bank’s monetary policy will change the amount of loanable funds of commercial banks, or the balance sheet of funding needs, which led to changes the size of bank credit, through investment and ultimately affect output and price levels. Depending on the conduction paths, the credit transmission mechanism has been classified as credit rationing channel, bank credit channel and the balance sheet channel.Scholars are most concerned with bank credit channel, Bernake and Blinder credit’s supply and demand balance by introducing into the analysis among the IS-LM model, made his famous CC-LM model, from the supply side of credit-bank angle, the study of monetary policy by the Bank credit conduction mechanism, and the balance sheet channel, standing credit demand’s perspective, the ways and the net cash flow from the assets ways to analyze how monetary policy affects the size of credit.Under the background that market interest rates continue to advance the process, there are two issues, on the one hand, the role of interest rate transmission channel is gradually strengthening, but the interest rate reform has not been successful, the credit transmission mechanism is still playing a leading role, and the other on the one hand, lending rates in July2013the full realization of the market is controlled by the central bank to abandon the loan limit in1998another big move, the size of loans and loan price based on independent management, the principle of self-financing is determined by the commercial banks, the central bank only regulate indirect control through monetary policy tools. This determines that we should continue to pay attention to the credit transmission mechanism, especially for his influence more in-depth study of the factors, which under this special case, maintain the smooth flow of policy transmission channels.After the central bank gives up the size of loans and the price if loan, credit will be more dependent on the result of the behavior of commercial banks, commercial banks and credit will determine the size of the credit markets in accordance with supply and demand conditions, and thus the size of credit will be subject to credit the impact of market supply and demand factors, such as deposits, lending, foreign exchange, investment, consumption, the impact of imports on the other hand, the central bank has established the dominant position of indirect control methods, such as reserve, refinancing and rediscount, open market operations, the same will affect the size of credit, and thus affect the credit as a policy variable size. In our analysis being used as the basis for model construction VAR model, the market variables as endogenous variables included in the model among the policy variables as exogenous variables into the model among the model equations of the form of measurement is estimated simultaneously VAR model using economic analysis has, for example, Granger causality test, impulse response analysis and analysis of variance, for January2003to December2013economic data empirical analysis and the results show that market factors credit scale has a significant impact in the credit supply side, the deposit scale plays a major role in credit demand, investment in fixed assets, that investment has become the demand for credit the main driving force, too, for the policy factor analysis shows adjust the deposit reserve ratio levels can be significantly credit scale, in extreme economic times, we should keep the deposit reserve ratio for significant regulatory role of credit.According to the analysis and the results of theoretical empirical test of this paper, to enhance the effect of the credit transmission mechanism put forward corresponding recommendations, first of all, we should keep in extreme times, significantly affect the reserve system on credit, the central bank should make full use of the deposit reserve system to achieve their policy goals, and secondly, to further enrich the financing channels of commercial banks, to get rid of excessive dependence for deposits, which has more space to choose the size of credit, again, we should also continue to strengthen the credit demand side management, while taking monetary policy operations, in line with the relevant financial or industrial policy operations, to better achieve the policy wishes.