Research On The Coupling Relationship Between Financial Development And Industrial Structure Upgrading

Since the reform and opening up,China's financial industry has been developing rapidly,and its financial development has achieved brilliant results.However,in the process of development,the problems and challenges faced by China's financial industry are also increasing,such as the imbalance between supply and demand in the financial industry,and the poor circulation of financial and real economy.The fifth national conference on financial work,held in 2017,stressed that China should focus on the coordinated development of the financial and real economy and promote the financial sector to better serve the real economy.Industrial structure upgrading is an important step in the development of China's real economy,so this paper takes financial development and industrial structure as the object of study.This paper will explore the interaction mechanism of financial development and industrial structure,and make an empirical analysis on the financial development and industrial structure of the Yangtze River Economic Zone from 2007 to 2016,Then,propose feasible suggestions to promote the common development of finance and industry of the Yangtze River Economic Zone.First of all,this paper makes a theoretical analysis of the interaction mechanism between financial development and industrial structure upgrading.Then,use the coupling model and grey relational analysis grade method(GRAP)for empirical analysis.The results show that the financial development and industrial structure of the Yangtze River Economic Zone is in the high level coupling stage during the research period.In other words,the financial development and industrial structure of the Yangtze River Economic Zone are mutually reinforcing and synergistic.The results of GRAP show that the deposit-to-loan ratio,the proportion of direct financing,and the financial practitioners on the impact of industrial structure are larger than other factors,while the financial-sector value added,the quantity of deposit and loans on the influence of industrial structure are smaller.Therefore,the financial development and industrial structure upgrading of the Yangtze River Economic Zone are highly relevant,and we can promote the upgrading of industrial structure by improving the financial development status.Therefore,in order to improve the level of financial development of the Yangtze River Economic Zone,to strengthen financial support for the real economy,and to promote the upgrading of the industrial structure,this paper puts forward the following suggestions:(1)Optimizing the structure of financial markets and expand the capital market.(2)Optimizing market financing structure and raising the proportion of direct financing.(3)Enhancing the integration of the Yangtze River Economic Zone and promote the coordinated development of regional economies.