The Impact Of The Development Of Domestic Shadow Banking On The Monetary Policy Goals

In recent years,with the rapid development of the domestic economy,continuous advancement of financial innovation and ever-increasing demand for investment and financing in the market,the shadow banking represented by the Bank's trust products,trust loans and entrusted loans has enjoyed rapid development in China.In 2008,the subprime mortgage crisis broke out in the United States and spread to the world rapidly,bringing a devastating impact on the world financial markets and the real economy.As an important behind-the-scenes promoter of the financial crisis,shadow banking started to gain practical support from both domestic and international practitioners and Theorists pay much attention and research.Compared with the developed countries in Europe and the United States,although the development of the domestic shadow banking is still in the initial stage of development and the complexity is relatively low,the fact proves that the rapid development of the domestic shadow banking has exerted a significant influence on the realization of the monetary policy goal.To a certain extent,weakened the implementation effect of the central bank's monetary policy.This paper chooses the analysis of the impact of the domestic shadow banking development on the monetary policy objectives as a research topic to conduct tentative innovation exploration.It has important theoretical significance for deepening the understanding of the domestic shadow banking system and perfecting the theoretical framework of domestic monetary policy.At the same time,The smooth and healthy development of shadow banking,maintaining the stability of the financial system and providing a realistic basis for the formulation and implementation of domestic monetary policy have profound practical significance.On the basis of combing the classical literature both at home and abroad,this paper qualitatively analyzes the impact of domestic shadow banking development on the monetary policy objectives from the theoretical and empirical aspects,which are divided into five parts:The first chapter is the introduction,elaborates the background and significance of this article,and makes a comprehensive review,review and comment on the related research literature of the predecessors.Finally,this chapter also lists the research methods and possible innovations of this article;The second chapter is an overview of domestic shadow banking,which further defines the concept of domestic shadow banking and highlights the formation,development status and reasons of the shadow banking in China,and lays the foundation for the theoretical analysis;The third chapter is the theoretical analysis.By introducing the shadow bank into the Chawton money supply model,the CC-LM model and Fisher's equation respectively,the third chapter analyzes the influence of the shadow bank through its credit creation function on the intermediary goal and the ultimate goal of the domestic monetary policy:On the one hand,the development of shadow banking will increase the money supply multiplier to increase the money supply.On the other hand,the development of shadow banking can promote economic growth to a certain extent but at the same time raise the inflation rate and increase the central bank's price stability and control the difficulty of inflation;The fourth chapter constructs a VAR vector auto regression model for empirical analysis,through Granger causality test,impulse response function analysis and variance decomposition to quantify the shadow bank's specific impact on monetary policy objectives,the results show that:the domestic shadow banking and monetary policy objectives There is a long-term and stable relationship between the development of the shadow currency and its development will increase the actual money supply in the market,promote price increases and economic growth to some extent,in addition,the development of domestic shadow banks on the monetary policy intermediary goals more than The impact on the ultimate goal,and this effect has a long-term effect;The fifth chapter is the policy suggestion,and puts forward the suggestion respectively from the two dimensions of strengthening the supervision of shadow banking and improving the monetary policy system.On the one hand,it is necessary to establish and perfect relevant laws and regulations,and secondly,to establish a sound regulatory system for shadow banking in the Mainland.Thirdly,we must strengthen international regulatory cooperation and draw on international experience.Fourthly,we must encourage and guide the shadow Bank steady and healthy development.On the aspect of perfecting the monetary policy system,one is to expand the deposit reserve coverage,the other is to reform and perfect the monetary policy intermediary goals,and the third is to promote the implementation of price-based monetary policy control tools.