Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth

Wenjie Yang; Li Sun

doi:doi:10.11648/j.ijfbr.20200601.12

| Peer-Reviewed

Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth

Wenjie Yang, Li Sun

Published in International Journal of Finance and Banking Research (Volume 6, Issue 1)

Received: 24 February 2020 Accepted: 9 March 2020 Published: 18 March 2020

Views: Downloads:

Download PDF

Share This Article

Twitter
Linked In
Facebook

Abstract

China is in the period of important strategic opportunities of the "new normal". The "new normal" has brought new development and opportunities to China, and its economic growth has become more stable and its growth momentum has been more diverse. However, at the same time, it also faces problems such as overcapacity, high debt, and gradual weakening of the "demographic dividend". Therefore, economic transformation and adjustment and improvement of the financial structure have become important issues for regional economic development. With Zhanjiang as a sub-central city, Zhanjiang has a huge development opportunity. However, Zhanjiang's financial penetration into the economy is not strong, compared with other cities, Zhanjiang's financial deepening level is relatively low. Therefore this study analyzes the causal relationship between Zhanjiang's bank-led financial structure and economic growth, and explores the key elements of economic growth. Optimize the financial structure and increase the balance and inclusiveness of development. Give full play to the role of market mechanisms to further release market vitality. Scientifically regulate and control risks to realize Zhanjiang's economic transformation and upgrading and sustainable economic development under the “new normal”. Empirical analysis shows that FIR and FI are Granger causality of GDP and have a negative impact. There is no Granger causality between DLR, ER and GDP, which has a positive impact.

Published in	International Journal of Finance and Banking Research (Volume 6, Issue 1)
DOI	10.11648/j.ijfbr.20200601.12
Page(s)	11-16
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Financial Development, Financial Interrelations Ratio, Economic Growth

References

[1]	Goldsmith, R. W. Financial structure and development [M]. Yale University Press: Britain, 1969.
[2]	Levine R. Bank-Based or Market-Based Financial Systems: Which Is Better? [J]. Journal of Financial Intermediation, 2002, 11 (4): 398-428.
[3]	Beck, T., & Levine, R. Industry growth and capital allocation: does having a market- or bank-base system matte? [J]. Journal of Financial Economics, 2002, (64): 174-180.
[4]	Thangavelu S M, Jiunn A B, James. Financial development and economic growth in Australia: An empirical analysis [J]. Empirical Economics, 2004, 29 (2): 247-260.
[5]	Shah, S. Z. A., & Bhutta, N. T. Does financial deepening create financial crises? [J]. Journal of Emerging Trends in Economics and Management Sciences, 2014, 5 (7): 115-120.
[6]	Shun-Ho CHU. (2106). An Empirical Study on the Impact of Macau's Financial Development on Economic Growth ──Analysis of Co-integration and Causality [J]. Macao Economy, (40): 1-12.
[7]	Demir, A, D., & Hall, S, G. Financial structure and economic development: Evidence on the view of “new structuralism”. [J] International Review of Financial Analysis, 2017, (52): 252-259.
[8]	Samargandi N, Fidrmuc J, Ghosh S. Financial development and economic growth in an oil-rich economy: The case of Saudi Arabia [J]. Economic Modelling, 2014, 43: 267-278
[9]	Madichiel, C., Maduka, A., Oguanobi, C., & Ekesiobi, C. Financial development and economic growth in Nigeria: A reconsideration of empirical evidence. [J]. Journal of Economics and Sustainable Development, 2014, 1 (3): 549-554.
[10]	Adeniyi O, Oyinlola A, Omisakin O, et al. Financial development and economic growth in Nigeria: Evidence from threshold modelling [J]. Economic Analysis and Policy, 2015, 47: 11-21.
[11]	Ductor, L.., & Grechyna, D. Financial development, real sector, and economic growth. [J]. International Review of Economics & Finance, 2015, (37): 393-405.
[12]	Khan, M. A., Qayyum, A., Sheikh, S. A., & Siddique, O. Financial development and economic growth: The Case of Pakistan. [J]. Pakistan Development Review, 2005, 44 (4): 819-837.
[13]	Adnan, N. Measurement of Financial Development: A Fresh Approach. Pakistan: University of Surrey, United Kingdom and Comsats Institute of Information Technology. 2011.
[14]	Boukhatem J. Assessing the direct effect of financial development on poverty reduction in a panel of low- and middle-income countries [J]. Research in International Business and Finance, 2016, 37: 214-230.
[15]	Ming F, Yunfeng L. Empirical Analysis of Influencing Factors of Commercial Banks' Liquidity in China [J]. Journal of Financial Education Research, 2017 (02) 9-18.
[16]	Minghui L, Bian Z. Can Basel Ⅲ Net Stable Financing Ratio Replace the Deposit-to-Loan Ratio? —Empirical Evidence from Chinese Listed Banks [J]. Economics and Trade Forum, 2018, 229 (01): 50-60.

Cite This Article

Plain Text BibTeX RIS

APA Style

Wenjie Yang, Li Sun. (2020). Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. International Journal of Finance and Banking Research, 6(1), 11-16. https://doi.org/10.11648/j.ijfbr.20200601.12

Copy | Download

ACS Style

Wenjie Yang; Li Sun. Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. Int. J. Finance Bank. Res. 2020, 6(1), 11-16. doi: 10.11648/j.ijfbr.20200601.12

Copy | Download

AMA Style

Wenjie Yang, Li Sun. Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. Int J Finance Bank Res. 2020;6(1):11-16. doi: 10.11648/j.ijfbr.20200601.12

Copy | Download

@article{10.11648/j.ijfbr.20200601.12,
  author = {Wenjie Yang and Li Sun},
  title = {Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth},
  journal = {International Journal of Finance and Banking Research},
  volume = {6},
  number = {1},
  pages = {11-16},
  doi = {10.11648/j.ijfbr.20200601.12},
  url = {https://doi.org/10.11648/j.ijfbr.20200601.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijfbr.20200601.12},
  abstract = {China is in the period of important strategic opportunities of the "new normal". The "new normal" has brought new development and opportunities to China, and its economic growth has become more stable and its growth momentum has been more diverse. However, at the same time, it also faces problems such as overcapacity, high debt, and gradual weakening of the "demographic dividend". Therefore, economic transformation and adjustment and improvement of the financial structure have become important issues for regional economic development. With Zhanjiang as a sub-central city, Zhanjiang has a huge development opportunity. However, Zhanjiang's financial penetration into the economy is not strong, compared with other cities, Zhanjiang's financial deepening level is relatively low. Therefore this study analyzes the causal relationship between Zhanjiang's bank-led financial structure and economic growth, and explores the key elements of economic growth. Optimize the financial structure and increase the balance and inclusiveness of development. Give full play to the role of market mechanisms to further release market vitality. Scientifically regulate and control risks to realize Zhanjiang's economic transformation and upgrading and sustainable economic development under the “new normal”. Empirical analysis shows that FIR and FI are Granger causality of GDP and have a negative impact. There is no Granger causality between DLR, ER and GDP, which has a positive impact.},
 year = {2020}
}

Copy | Download

TY - JOUR
T1 - Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth
AU - Wenjie Yang
AU - Li Sun
Y1 - 2020/03/18
PY - 2020
N1 - https://doi.org/10.11648/j.ijfbr.20200601.12
DO - 10.11648/j.ijfbr.20200601.12
T2 - International Journal of Finance and Banking Research
JF - International Journal of Finance and Banking Research
JO - International Journal of Finance and Banking Research
SP - 11
EP - 16
PB - Science Publishing Group
SN - 2472-2278
UR - https://doi.org/10.11648/j.ijfbr.20200601.12
AB - China is in the period of important strategic opportunities of the "new normal". The "new normal" has brought new development and opportunities to China, and its economic growth has become more stable and its growth momentum has been more diverse. However, at the same time, it also faces problems such as overcapacity, high debt, and gradual weakening of the "demographic dividend". Therefore, economic transformation and adjustment and improvement of the financial structure have become important issues for regional economic development. With Zhanjiang as a sub-central city, Zhanjiang has a huge development opportunity. However, Zhanjiang's financial penetration into the economy is not strong, compared with other cities, Zhanjiang's financial deepening level is relatively low. Therefore this study analyzes the causal relationship between Zhanjiang's bank-led financial structure and economic growth, and explores the key elements of economic growth. Optimize the financial structure and increase the balance and inclusiveness of development. Give full play to the role of market mechanisms to further release market vitality. Scientifically regulate and control risks to realize Zhanjiang's economic transformation and upgrading and sustainable economic development under the “new normal”. Empirical analysis shows that FIR and FI are Granger causality of GDP and have a negative impact. There is no Granger causality between DLR, ER and GDP, which has a positive impact.
VL - 6
IS - 1
ER -

Copy | Download

Author Information

Wenjie Yang

School of Business, Guangdong Coastal Economic Belt Development Research Center of Lingnan Normal University, Zhanjiang, China
Li Sun

School of Economic and Management, Guangdong University of Petrochemical Technology, Maoming, China

Download PDF

Sections

Plain Text BibTeX RIS

APA Style

Wenjie Yang, Li Sun. (2020). Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. International Journal of Finance and Banking Research, 6(1), 11-16. https://doi.org/10.11648/j.ijfbr.20200601.12

Copy | Download

ACS Style

Wenjie Yang; Li Sun. Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. Int. J. Finance Bank. Res. 2020, 6(1), 11-16. doi: 10.11648/j.ijfbr.20200601.12

Copy | Download

AMA Style

Wenjie Yang, Li Sun. Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth. Int J Finance Bank Res. 2020;6(1):11-16. doi: 10.11648/j.ijfbr.20200601.12

Copy | Download

@article{10.11648/j.ijfbr.20200601.12,
  author = {Wenjie Yang and Li Sun},
  title = {Research on the Impact of Financial Structure Optimization on Zhanjiang's Economic Growth},
  journal = {International Journal of Finance and Banking Research},
  volume = {6},
  number = {1},
  pages = {11-16},
  doi = {10.11648/j.ijfbr.20200601.12},
  url = {https://doi.org/10.11648/j.ijfbr.20200601.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijfbr.20200601.12},
  abstract = {China is in the period of important strategic opportunities of the "new normal". The "new normal" has brought new development and opportunities to China, and its economic growth has become more stable and its growth momentum has been more diverse. However, at the same time, it also faces problems such as overcapacity, high debt, and gradual weakening of the "demographic dividend". Therefore, economic transformation and adjustment and improvement of the financial structure have become important issues for regional economic development. With Zhanjiang as a sub-central city, Zhanjiang has a huge development opportunity. However, Zhanjiang's financial penetration into the economy is not strong, compared with other cities, Zhanjiang's financial deepening level is relatively low. Therefore this study analyzes the causal relationship between Zhanjiang's bank-led financial structure and economic growth, and explores the key elements of economic growth. Optimize the financial structure and increase the balance and inclusiveness of development. Give full play to the role of market mechanisms to further release market vitality. Scientifically regulate and control risks to realize Zhanjiang's economic transformation and upgrading and sustainable economic development under the “new normal”. Empirical analysis shows that FIR and FI are Granger causality of GDP and have a negative impact. There is no Granger causality between DLR, ER and GDP, which has a positive impact.},
 year = {2020}
}

Copy | Download