The Research Of Financial Agglomeration Effect On The Quality Of Regional Economic Growth In China

Unbalanced regional development is a big problem of our country’s economic long-term development.Under the big trends of transformation of economic development patterns, regional balanced development is undoubtedly one of the economic problems to be solved.As an important part of the development of the socialist market economy,Financial markets will bring influence to the entire social and economic development,and it will also affects the improvement of our country’s regional economic growth quality.Thus this paper will use theoretical and empirical research to study the features that affect the quality of regional economic growth through the mode of country’s financial agglomeration.At the same time,it will provide certain reference to our country’s financial reformation.This paper use the panel data of our 29 provinces from 2003 to 2012 to calculate each regional financial agglomeration index and total factor productivity growth rate and use theoretical and empirical research to study the features that affect the quality of regional economic growth through the mode of country’s financial agglomeration. The results showed: China’s regional financial agglomeration degree from high to low in turn is eastern,central and western. And regional financial agglomeration degree of gap is shrinking year by year. And the total factor productivity growth, on the other hand, from high to low in turn is western, central and eastern. This phenomenon shows that the developed region exists excessive financial agglomeration.further more, the financial sector is divided into banking, securities and insurance and we found there have a different effect of different financial on the quality of economic growth between different department’s agglomeration. Banking,securities on the role of the regional total factor productivity growth rate are positive,while the effect of the insurance industry is not obvious.The promoting effect of banking industry in eastern region is smaller than the securities industry. After joining the banking squared,we found that only eastern banking square coefficient is significantly negative,this shows that the eastern region banking excessive concentration reduces banking promoting effect on the quality of regional economic growth in the region.In a word, domestic scholars pay more attention on the subject about financial agglomeration’s effects on economic growth instead effects on the quality of economic growth rate. In this paper, Based on the study of the agglomeration theory of foreignscholars and combined with actual situation of our country, we analyzed in detail the financial agglomeration’s effect on the quality of regional economic growth. To a certain extent, enrich the content of the research in the field of the foundation and provide a certain degree of reference for subsequent research.