Research On Monetary Policy Transmission Mechanism Under Marketization Of Interest Rate

The center bank has no longer set a floating deposit rate cap to commercial banks and other rural cooperative financial institutions in Oct 2015, and that's a milestone in the process of China's marketization of interest rate with the meaning that monetary policy rate regulation mechanism is gradual important in monetary policy. Under the new interest rate market context, how to complete further interest rate reform and improve the regulatory framework of monetary policy is a key issue in the New. This thesis based on research of scholars, closely linked to the new process of interest rate marketization, using structured DSGE model depicts the microscopic behavior of bank and center bank, analyzes the effect of monetary policy transmission mechanism after the release of interest rate restriction, analyzes the effect of different policy rate, and provides a good reference and recommendations to perfection of the new monetary policy framework and regulation transition.This thesis reviews the theory of monetary policy transmission mechanism and analyzes the impact combined with the reality. By making up a DSGE model including the resident, companies, banks and center bank with the shocks of credit policy tools and interest rate policy tools, and setting the shocks of consumer preference and technology, the thesis analyzes the effect of credit policy and interest rate policy of monetary policy and their influence to micro economy via Bayesian estimation and simulations. This thesis finds that credit transmission mechanism of monetary policy is more generally, while interest rate transmission mechanism is not much smooth and effective because of the interest rate regulation, no sensitive of interest rate fluctuation from market participate and so on. Compared center bank bills with treasury, the macro control of center bank bills is more pronounced for a long time.