A Study On The Impact Of China's Banking Market Structure On Economy

The development of the financial industry is the main point of the macroeconomy growth,and the banking market structure is an important factor of economic growth.Therefore,the influence of the banking market structure,the changing of the banking industry would be a big event,Because the failure or behavior of the banking market structure has a profound impact on economic growth,the social efficiency and the welfare.In this essay,the measurement for the degree of market competition in China's banking industry adopts three indicators: market share index,Hafindal index HHI and market concentration rate CRn index.Through the data analysis,the state-owned commercial banks of China has a great advantages of market share,deposit and so on.On the whole,it is a decline of deposits,loans and the market share of state-owned commercial banks,which indicate that the monopoly advantage of China's banking industry is gradually disappearing.Joint-stock commercial banks and rural commercial banks and other small and medium-sized banks are increasing,showing the market share of China's banking market structure gradually to the development of competitive oligopoly bank,with a certain competitive oligopoly market characteristics,the competion of China's banking market structure is gradually increasing.Based on a simple economic growth AK model,it deduces that a country's economic growth rate depends on the marginal productivity,savings rate of investment and savings rate of capital,without regarding to the technological progress.The banking market structure can also be influenced by these Variables and play a role in economic growth.Based on the date of the economic aggregate and economic structure of China from 1989 to 2015,it is found that there is a negative correlation between the concentration of the banking market structure and the economic growth in China,so enhancing the competitiveness of China's banking market,optimizing the structure of China's banking market are necessary,and make a series of countermeasures.