Research On The Impact Of Financial Supervision Intensity On Income Distribution Gap

After the subprime mortgage crisis,the importance of financial regulation gained widespread attention and research.But who is the beneficiary of financial regulation has also raised questions.Is the supervision of financial institutions by government agencies based on the public interest? Or is it the result of the influence of interest groups? What is the impact of the increase in the level of financial supervision on income distribution? In order to answer these questions,it is necessary to make a numerical measure of the level of financial supervision in a country and to include as much information as possible on all aspects of financial regulation.This paper collects data of 18 relevant indicators from 46 representative countries in different regions,different income levels and development stages in 2005-2013,and uses principal component analysis to synthesize 18 related indicators.Analyze the level and corresponding composition of financial supervision in various countries.Then,the standardized income inequality Gini coefficient and the individual fixed effect panel model were used to carry out regression analysis on related variables.After that,This paper finds that the impact of financial regulation on income distribution is not stable worldwide,and it is impossible to determine the relationship between the two.In the sample of developed countries,financial regulation has a significant negative effect on income distribution,and the rise of financial supervision will widen the gap in income distribution.In the sample of developing countries,financial regulation has a significant optimization effect on income distribution without considering capital stock and employment,but this effect is not stable.Based on the above statistical results,this paper proposes policy recommendations including measures to improve supervision and promote regulatory reform.