| The outbreak of the financial crisis in 2008 caused great damage to the global economy.In the process of studying the reasons behind the crisis,the academia has gradually put forward the theory of risk-taking channel of monetary policy: the implementation of the low interest rate monetary policy is the main cause of the financial crisis,the abundance of liquidity in the market has caused the banks to take too much risk that eventually leading to crisis outbreak.Under this background,regulatory authorities in different countries recognize the importance of strengthening liquidity risk regulation and place bank liquidity management as equally important as capital adequacy management.The commercial bank is an important intermediary channel of monetary policy,liquidity regulation is helpful to the management of the bank liquidity risk and the stability of the financial system,but the bank's risk-taking will change,this will ultimately affect the effectiveness of monetary policy through the risk-taking channel.Firstly,we introduce the meaning and path of the bank risk-taking channels of monetary policy and analyze the requirements and liquidity indicators of liquidity regulation.And then we analyze the impact of liquidity regulation on the bank risk-taking channels of monetary policy based on the risk pricing model effect,fixed thinking effect,search for yield effect and other transmission.Finally,we put forward the research hypothesis based on the analysis and establishment a the model for empirical testing.This paper chooses the financial data of 88 commercial banks in China during the period of 2003 to 2015,use dynamic panel model to explore the effects of liquidity regulation effect on risk-taking channel of monetary policy.The empirical results show that: there is a significant decline in the risk level of Chinese commercial banks after the strengthening of liquidity regulation;Liquidity regulation has a significant impact on the risk-taking channel of monetary policy by reducing the incentive effect of loose monetary policy on risk bearing of commercial banks;Banks' risk-taking has positive effect on their scale of loans,however,in the environment of loose monetary policy,liquidity constrain is favor to reduce banks' credit expansion induced by their excessive risk-taking.The robustness test results verify the credibility of the conclusions: the above conclusions show that liquidity regulation has a substantial impact on risk-taking channel of monetary policy.In order to realize the two objectives including the effectiveness of monetary policy and the stability of the financial system and to coordinate the relationship between liquidity regulation and monetary policy,we put forward following suggestions: Firstiy,regulatory authorities department should put forward the regulatory standard for China's commercial banks according to the actual situation;Secondly,formulate counter-cyclical liquidity regulatory policies to maintain financial stability while taking into account the impact of the economic cycle;Thirdly,strengthen shadow bank liquidity regulation,to prevent the shadow bank's adverse effects on the financial system stability;Fourthly,develop multidimensional liquidity management to prevent the conflict between liquidity constraints and monetary policy. |
PDF Full Text Request