Research On Government Factors Of Urban Financial Agglomeration

With the development of the financial industry,financial agglomeration has gradually become a new trend in the development of the financial industry.In recent years,municipal governments have attached great importance to the construction of financial agglomerations,aiming to use the agglomeration,spillover and radiation effects of financial agglomeration to drive the rapid development of the local economy.In addition,the academic community is also very concerned about the factors affecting financial agglomeration.Based on the summary of related literature,it is found that scholars have different opinions on the role of government factors in financial agglomeration,and the indicators used by scholars to measure government factors are too monotonous and lack comprehensive.In this context,this paper takes 100 cities in China from 2004 to 2016 as a research sample,based on the theoretical analysis,builds a government indicator system based on the governance environment,government behavior and government efficiency,and further obtains core explanatory variables: government composite index,using the fixed-effects model and adopting the “OLS+robust standard error” regression method to discuss the impact of government on urban financial agglomeration.Then,by studying the different effects of governance environment,government behavior and government efficiency on financial agglomeration,the government’s mechanism of influence on financial agglomeration is further analyzed.The results show that the government is the promoter of financial agglomeration upgrade,but the different geographical distribution,the different financial agglomeration stage and the different types of financial agglomeration will make the government’s influence on financial agglomeration different.In addition,the government mainly achieves the impact on financial agglomeration through the direct positive effects of government behavior factors such as the degree of policy support,financial cooperation behavior,financial industry management behavior and government efficiency on financial agglomeration;the direct negative effects of environmental factors such as the degree of local protection and the degree of official corruption and government behavior factors such as the degree of policy restrictions on financial agglomeration;and indirect positive effects of environmental factors such as thedegree of marketization on financial agglomeration.Generally speaking,a good government governance environment,government behaviors that benefit financial development,and efficient government operations together form the government’s driving force for financial agglomeration,while poor government governance and government behavior that limits financial development weaken financial agglomeration.Finally,according to the research results,conclusions are drawn and corresponding suggestions are put forward.