Empirical Analysis Of Financial Agglomeration On Public Welfare Level

This paper combs the relevant theories of financial aggregation and public welfare,analyzes the characteristics and influencing factors of financial aggregation,studies the process of financial aggregation formation,and expounds the nature of public welfare.Financial aggregation mainly depends on economic growth and the supply and demand of public goods to the level of public welfare.The financial aggregation index system was constructed from the three scale indicators of economic scale,financial scale and infrastructure level and fifteen secondary indicators to obtain the financial aggregation factor score from 2007 to 2016.The index system of public welfare level is constructed by per capita social security expenditure,per capita medical expenditure and per capita education expenditure,and the corresponding factor score of public welfare level is calculated.Based on the scores of financial aggregation factors and public welfare factors,the paper analyzes the impact of financial aggregation on public welfare,and finds that Beijing,Shanghai,Guangzhou,and Shenzhen have high levels of financial aggregation,and the corresponding public welfare level is higher than other cities.Through the dynamic panel regression model of financial welfare to public welfare,it is found that the fixed effect variable intercept regression results are the most ideal.The empirical analysis shows that the impact of the financial aggregation of the sample cities on their own public welfare is “U” type,and the optimal value is 1.1125,which makes the public welfare level reach the highest.After the financial aggregation level reaches the optimal value,the corresponding public welfare level will show a downward trend.The main conclusion of this paper is that the impact of financial agglomeration on public welfare is first increased and then decreased,and the impact of the financial concentration level of the sample city on the level of public welfare is time lag.At the same time,based on empirical research and analysis,it proposes to optimize the financial market environment and management mechanism,promote the improvement of public welfare level,coordinate the inter-governmental supply responsibility for public welfare,improve the system design of urban public welfare and adopt flexible public welfare policy.