Lending Practices Game Analysis On P2P Lending Platform

As the latest pattern of challenging the traditional financial industry, P2P lendingplatform, as the representative of Internet financial shake up China’s financial marketsin2013and re-sparked financial disintermediation phenomenon concerns. Then, inthe "disintermediation" conditions, whether lending transactions smoothly andefficiently to achieve it? How to solve the problem of information asymmetry? In thispaper, the representative mode--P2P lending patterns for the study of Internetfinancial discuss this issue.Firstly, combined with financial intermediaries and financial disintermediationtheory, from the perspective of transaction costs and asymmetric information, analyzethe P2P lending patterns "disintermediation" of the core attributes. By means of thedevelopment of information technology, P2P lending patterns capable of producing awide range of scale and scattered transaction by reducing transaction costs, in linewith "disintermediation" theoretical system is typical of financial disintermediation.Inthe case study on P2P lending platform PPDAI.com, described the behavioral characteristicsof the platform both lenders and borrowers, as well as the existence of the game relationshiplending practices, borrowers always want to use smaller information costs and borrowingcosts, meet the shortage of funds demand; while investors always want to invest in a higherinterest rate loan program on the basis of low risk. The study found that the credit systemindicators P2P lending platform, helps conditions constitute the elements of a balanced gamein lending practices.Further introduction of game theory to construct incomplete informationdynamic game model to verify the lending practices to reach equilibrium game. Finally, theactual transaction data from PPDAI.com platform empirical analysis, empirical results showthat "disintermediation" P2P platform can contribute under conditions closely related lendingtransactions and information costs, reflecting the matching of information and funds in P2Pplatform. Also investigated on lending transactions contributed to play the role of "keyelements of indicators" in. In this paper, based on the argument under financedisintermediation conditions, due to lending practices game brought about market efficiency,proposed some policy recommendations to give prudential supervision to P2P lendingplatforms, innovative financial markets and services and further stimulate the enthusiasm ofthe general public finance, improve personal credit information system data.