Research On The Impact Of Financial Development On Economic Growth In Northeast Border Area

We analyze the status quo of financial development and economic growth in the northeast border region,and compares the economic operation of the northeast border region from the aspects of total GDP and growth rate,per capita GDP,industrial structure and foreign trade cooperation.Some problems existed in the existing system;from the expansion of financial markets,the operation of financial institutions and the settlement of local and foreign currencies,the actual situation of the financial system in the study area was analyzed.The fourth part of the article conducts an empirical analysis of the threshold effect of financial development on economic growth in the Northeast border region: with reference to Hansen’s non-dynamic threshold regression model,the threshold effect panel of financial development on economic growth with the threshold of urbanization is constructed.The model uses panel data from 14 cities in the Northeast border region for 14 years from 2004 to 2017 for empirical research and detailed examination and analysis of the results.The results show that:(1)From the perspective of the difference of urbanization level,based on the study of the threshold effect model,it is found that there are obvious three thresholds in the level of urbanization.The driving effect of financial development on economic growth depends on local urbanization level.The results show that in the areas of low urbanization rate(URB ≥ 0.585)and high urbanization(URB>0.729),financial development has a significant and strong hindrance to economic growth;in medium urbanization(0.585≤URB<0.670)The stimulating effect of financial development on economic growth is weak and not obvious;in the higher urbanization(0.670 ≤ URB < 0.729),financial development has a significant weak hindrance to economic growth;(2)manpower and capital are still Study the core drivers of economic growth in the region.The empirical research results in this paper show that the improvement of labor,capital investment and education level has a significant effect on the economic growth of the study area.The regression coefficients of other factors such as industrial structure,government expenditure and foreign trade are negative,showing the right The hindrance of economic growth indicates that the current state of these factors has not been introduced into a reasonable path,and has not yet shown the value and significance as the future direction of transformation;(3)the inconsistency of the development of land urbanization and population urbanization The process of population urbanization lags behind urbanization of land,and sustainable development is difficult.(4)The economic growth of the border region with multi-ethnic integration has higher requirements for its stability.The northeastern border areas of China include ethnic areas and non-ethnic areas.Studies have shown that the level of land urbanization in ethnic areas is lagging behind that of non-ethnic areas,and the problem of balanced urbanization and land urbanization is obvious.Finally,based on the results of empirical analysis,it puts forward four proposals to optimize the financial market structure in the northeast border region,encourage and support the innovation and development of traditional industries,improve the business environment and strengthen the construction of financial legal regulations,so as to promote the economy of the Northeast border region.Social stability and development.