Research On The Threshold Effect Of China's Capital Account Opening On Economic Growth

With the development of economic globalization and financial integration,openness of the capital account has become the choice that countries all over the world must facing with,especially developing countries.The fundamental purpose of capital account opening is to gain economic growth.However,after the opening of the capital account in the 1980s,the act on the economy after the opening of the countries is different,and the economic wth effect of the capital account is different.In the context of the internationalization of RMB,the pace of China's capital account is accelerating.And its impact on economic growth,and what kind of open policy at this stage need to be determined.Based on the study of economic growth theory,this paper analyzes the process and current situation of China's capital account opening.Taking the opening of capital account of three countries in Japan,Luxembourg and Chile as an example,this paper analyzes the effect of capital account opening policy under different economic conditions,Combined with China's current economic situation at the present stage of the experience of the process of analysis and summary.Both theory and practice show that the economic growth effect of capital account opening requires a certain economic base.On this basis,this paper takes 88 countries(or regions)of the panel data as a sample,the opening of the capital account with the total amount of LMF index to measure,and in the basic economic,financial,trade indicators based on the use of Hansen multi-threshold regression model,with the STATA statistical software to identify the threshold,and then regression test.The results show that:at different stages,the opening of capital account on the role of economic growth is different,only to meet certain economic,financial,trade conditions,capital account opening will promote economic growth.Finally,based on the actual situation of China's capital account opening,according to the empirical analysis,it is concluded that the current capital account opening has a significant effect on China's economic growth,but should adopt the progressive open mode and put forward relevant policy suggestions..