Spatial Correlation And Regional Financial In China Via Network Analysis

Since the reform and opening up,China's financial industry has achieved unprecedented development and achieved great achievements,and its economic aggregate has become the second largest in the world.But due to reasons such as regional location,traffic conditions,the influence of China's regional financial development imbalance phenomenon is more serious,The number of financial institutions of Beijing,Shanghai and Shenzhen is more than half of the total number of the country's financial institutions,as a result,regional financial development space for association studies is of great significance to promote the coordinated development of the economy as a whole,should not be ignored,in this paper,the 31 provinces(except Hong Kong,Macao and Taiwan)financial location entropy as an example,the main work and obtain relevant conclusions as follows:First,using the data consisting the total of lending and deposit balances,and gross domestic product of 31 provinces in China from 1990 to 2015,this paper utilizes the financial location entropy as a measure of regional financial development indicator.Then it constructs the spatial correlation network analyses for China's financial development after Granger causality tests.The paper also studies the influential factors of China's regional financial development based on block models and QAP method.It effectively resolves the difficulty that the traditional spatial method faces when analyzing the financial linkage on the global characteristics of network structure.The empirical results show that:(1)the spatial correlation of China's regional financial development is complex,but the network is stability and has good accessibility.(2)China's regional financial development is divided into four sectors.The first sector is the “main benefit plate” in the less developed areas in the west,and the second plate is the “agent plate”,which plays the role of “bridge”.The third plate is the “net overflow plate” in the eastern regions,and the fourth plate is “two-way overflow plate”,mainly in the more developed provinces in the middle east of China.This indicates that China's regional financial development has clear energy transfer gradient characteristics.(3)Per capita income level,foreign trade index,the index of the third industry development,the influence of the transport ability and the ability of government intervention are important factors,while regional employment situation and the location have little influence on adjacent provinces.Other conclusions and suggestions are also presented.