The Correlation Analysis Of China’s Shadow Banking And Commercial Banking System Stability

With the deepening of C hina’s financial innovation, shadow banking is developing rapidly in recent years, and it has become an important part of the financial market of our country. The shadow banking contacts of the banking industry closely, and the academic study of the shadow banking is grad ually increased. The banking industry still occupy the dominant position of China’s financial system, as a useful complement to the bank financing channels, the banking system has connection and significant difference with shadow banking, the scale of shadow banking development is bound to cause certain influence on the stability of the bank. In the existing related research, mostly is qualitative research, while quantitative research is less, so the combination of qualitative and quantitative analysis method of shadow banking size and bank stability analysis has important theoretical and practical significance to C hina’s healthy development and banking system stability undoubtedly.Shadow banks arising from interest rate controls under the background of economic entities in the market to meet the excess demand for money funds, but now the concept of shadow banking is also an unified and unclear definition through content analysis and constituted defined herein scope of shadow banking research and analysis of its causes, besides the positive and negative effects on bank stability generated, and then provide the basis for quantitative analysis supplemented by qualitative analysis for the qualitative analysis of shadow banking. On the one hand on the basis on the analysis of the internal configuration of the shadow banking, shadow banking size can be calculated; On the other hand by choosing classes macroeconomic and financial environment class, banks category three categories of indicators given their weight, calculated stability index of commercial banks construction scale and regression shadow banking commercial bank stability index, using stationary test, cointegration test, Granger causality test to test the model, a quantitative analysis of the shadow bankin g system, the degree of influence on the stability of the bank, to do the data support for quantitative analysis qualitative analysis, negating the past undue emphasis on the negative effects of the shadow banking conclusions drawn between the scale of shadow banking and banking stability presented the conclusions of a nonlinear relationship. That shadow banking development in the early stages, the expansion of the scale to expand financing channels, improving the financing system have played an important role; and liquidity risks as uncontrolled expansion of its scale caused by risks such as maturity mismatch will weaken Bank stability, so that the financial risks faced by commercial banks intensified. Based on the above conclusions,for the question that how to strengthen the supervision of the shadow banking, it proposals on policies, which should be clearly defined scope of shadow banking supervision, improve relevant laws and regulations, establish risk isolation system, promote financial product innovation, speed up the process of market interest rates.Shadow banking is a double-edged sword, giving guidance to the shadow banking, making it beneficial to the standardization and the perfection of C hina’s financial regulatory system, the process of interest rate marketization has reference significance.