Research On The Impact Of China's Financial Opening To The Outside World On Economic Growth

The report of the 19 th National Congress of the Communist Party of China clearly calls for the promotion of a new pattern of comprehensive opening up.President Xi Jinping detailed the relevant contents of our country's financial opening to the outside world at the Boao Forum for Asia on April 10,2018.The current further opening of China's financial industry is the general trend,which not only helps promote the deep development of the Chinese economy,but also plays an important role in the Chinese economy's active participation in the globalization process.However,the impact of financial opening to the outside world on economic growth is complex.It is necessary for us to grasp its laws and implement appropriate financial opening policies to achieve the goal of promoting our country's economic growth.In this background,it is of great theoretical significance and practical value to study the impact of our country's financial opening to the outside world on our country's economic growth,and to propose how China should adopt a policy of financial opening to the outside world to continuously and steadily promote China's economic growth.This thesis first introduces the concepts and related theories of financial opening to the outside world and economic growth,and based on these,analyzes the mechanism of the promotion of financial opening to the economic growth: promoting financial internationalization(including domestic financial business internationalization and foreign financial business localization),promoting the free flow of capital and the opening of laws and regulations.Secondly,the historical development process of our country's financial opening to the outside world is sorted out,combined with the promotion of our country's economic growth current status,and proposes ways for China to further opening to the outside world.Finally,based on the four major factors which influences the economic growth of financial opening to the outside world from the theoretical analysis: internationalization of domestic financial business,localization of foreign financial business,free flow of capital,and opening of laws and regulations,establish comprehensive index of financial opening to the outside world through principal component analysis.The threshold regression model is used to verify the impact of China's financial opening on economic growth under three conditions: benchmark regression,national governance index as threshold variable regression and financial development index as threshold variable regression.There is a significant role in promoting growth,and the timing of China's further financial opening is proposed.The thesis draws the following conclusions: First,financial opening to the outside world promotes economic growth through financial internationalization,free capital flow,and opening of laws and regulations;second,China's financial opening to the outside world plays a significant role in promoting China's economic growth;third,China should continue to adopt a progressive financial opening-up policy in order to continue and efficiently promote China's economic growth;fourth,when China is in a state with a high level of national governance and in the context of a high degree of financial development,the further financial opening policy will promote China's economic growth.