The Influence Of Monetary Policy On The Scale Of Shadow Banking

Based on theoretical analysis and semi-annual unbalanced panel data of 60 Chinese banks from 2013 to 2019,this paper discusses the influence of quantitative and price monetary policies on the scale of shadow banking,and on this basis,further considers the asymmetric performance of monetary policy under different monetary cycles.The results show that tight monetary policies will lead to the growth of shadow banks,while vice versa.In addition,in further research,it is found that the influence of monetary policy on the scale of shadow banking is significantly asymmetric.In loose monetary cycles,expansionary monetary policy has a stronger inhibitory effect on shadow banking than the expansion effect of tight price-based monetary policy on Shadow Banks in tight cycles.Therefore,this paper holds that China's supervision of shadow banking should not only focus on their current performance,but also consider the shadow banking' response to current monetary policies,maintain the forward-looking and dynamic nature of supervision policies,and guide the benign interaction between shadow banks and economic policies.