A Study On Effect Of The Two Sides Of The Taiwan Straits Economic Exchanges On Financial Cooperation During The Post-ECFA

In recent years,more and more scholars emphasize the mutually reinforcing role of regional economic relationship and regional financial cooperation.Regional financial cooperation is the core of the world economy and financial sectors.The mainland China area and Taiwan area are both in the East Asian region,trading and social interactions are more closely.Economic dependence is also rising.Financial cooperation gradually expanded,on the one hand to meet the needs of economic and social relationship;on the other hand to consolidate and promote the mutual interests of both sides.Although there is a unique history and the current financial cooperation largely depend on the policy systems.But these years,the two sides are closer in trading investment and personnel exchanges.This makes a radical deep fertile soil for financial cooperation.Especially after achieving “cross-strait direct shipping”,air transportation and direct mail after the "three links" of their relations have entered a major turning point in 2008.Then in 2010 the two sides signed the ECFA(cross-strait economic cooperation framework agreement)and a series of economic?financial?social interaction agreements to further promote a new era of cross-strait relationship.Therefore,in the history of cross-strait development,ECFA as a new extremely important factor to be included in the framework of cross-strait economic research in the past.In this essay,firstly,determining the concept of cross-strait financial cooperation,then combing the history and current development of capital market and currency market cooperation,Secondly,based on the theoretical and practical reasons for the selection of appropriate measures on behalf of cross-strait financial cooperation.Thirdly,to explore the cross-strait trade,investment and personnel exchanges focuses on the development of post-ECFA era,including cross-strait trade imbalances,cross-strait investment environment,facilitate personnel exchanges and so on.Then using data from January 2009 to December 2015 monthly on cross-strait financial cooperation and cross-strait trade,investment and personnel exchanges to do VAR(vector auto regression model)analysis.The result shows:(1)there is a long-term equilibrium between the two sides of the relationship between investment and cross-strait personnel.(2)In the six years since the signing of ECFA,cross-strait trade,investment and contacts between the two sides to contribute to the development of cross-strait financial cooperation significantly,(3) compared to the previous literature,findings show that cross-strait financial cooperation on cross-strait financial cooperation system dependent manifestation a weakening trend,but by cross-strait trade,investment and financial cooperation on cross-strait personnel exchanges contribution of reinforcing trend.By constructing and testing VAR model analysis,the results are the same as expectations,And also reflects the objective situation of cross-strait financial cooperation in recent times.After the implementation of a series of cross-strait financial cooperation agreement around 2009,the development of cross-strait trade,investment and cross-strait personnel exchanges effectively promote the development of cross-strait financial cooperation.Meanwhile,both sides in the financial,economic and trade development have a great potential.Finally,according to the above conclusions further recommendations on cross-strait financial cooperation.