Study On The Difference Of Regional Financial Development In Hunan Province

Financial development is the dominant factor in modern economic development. Financial development has a very important significance for the development of the economy. The regional financial development differences in Hunan is too large. The phenomenon of imbalances in the distribution of financial resources among regions is very serious. Hunan regional economic development imbalances and financial policies have led to this phenomenon. By reading the relevant literatures, we can find that domestic scholars mainly do the research from the whole country. Most of the scholars in the study will compare the eastern, central and western area financial development, but a separate study on the provinces is very limited. In this dissertation, Hunan province is the research object. Study the difference of regional financial development in Hunan by using the theoretical basis of financial development, measurement method of financial development difference and regional financial development influence factorsThis dissertation mainly conducts the research from the following four aspects: first, we use factor analysis to measure regional financial development level in Hunan province; and then use the maximum minimum value ratio, variation coefficient, and Theil index to measure regional differences of financial development in Hunan; then test for convergence of regional financial development differences in Hunan province; finally, using FGLS regression method to analysis impact factors on the financial development differences in Hunan.Through the research, this dissertation concludes the followings:first, The gap of the level of the financial development among cities in Hunan is relatively large, the capital city has most of the financial resources; second, through o convergence,absolute convergence test and club convergence, we find that there is no convergence in Hunan financial development; third,The main factors contributing to this difference include:industrial spillover effect, human capital, information level, monetary policy and participation of government in economic activities. Finally, according to the differences, to promote the coordinated development in Hunan financial development, suggestions are proposed.