Wang Yi, School of Finance and Trade

Abstract: In the history, Focus on the financial development is the expansion and extension of the total development, and the problems of the structure and quality of development mode had more serious impact on the overall improvement of China's financial efficiency. Based on the financial sustainable development, we must improve the efficiency of the basic nature of financial needing, paying more attention to the overall coordination of the financial structure of the sustainable development trend. In summing the studies of the financial structure, economic growth and other aspects, the research points of the financial structure are mostly from the country departure, there is few research directions based on the separate individual parts of the country within the different regions. Economic developments in China, the severity of regional imbalances economic and financial characteristics are obvious serious, the imbalances of the economic development and financial structure are exist. From current economic policies and measures, implementation and development is overlooked for the regional differences in economic structure, financial structure and the analysis and research. And there is no difference between the financial structure and the economic development.

The improvement of efficiency of financial institutions in China has been significantly affected by the recent strategies of financial development, which care more about the competition of market share and the scale than the improvement of structure and quality. The optimal development strategy for financial institutions requires more emphasis on the adjustment of financial structure so as to increase the efficiency. Nevertheless, most literature on the financial structure and economic growth focuses on the country level, instead of the region level in one country. In the current economic policies and measures on the implementation and development is overlooked for the regional differences in economic structure, financial structure and the analysis and research, and there is no difference between the financial structure of the factors considered within the scope of not only the overall Will directly affect the economic development of all regions of the speed and scale, in a more profound sense，will further worsen the apparent differences in regional economic development and to further expand，will also be acting on the financial macro-control and financial policies and some Out relevant reform.

This paper chose the Chinese financial structure and the regional financial structure as a research perspective. From an empirical point of view to analysis the Chinese financial structure, and summarizes the basic differences in the regional basic features. From the various perspectives to measure the differences in Chinese development of economic and financial in last three decades. In order to see whether Chinese financial structure development consistent with the mutual improvement of the general law.

Modem financial institution is a systematical framework with which mobilizes and amasses scattered resources, channels resource flow from lower productive organizations to higher productive organizations for optimum resource allocation, reduces the transaction costs in process of payment, settlement and agency for merchandise and factor endowment trade, discloses market information and diminishes information asymmetrical distribution and information dominancy, disperses asset risks etc. As the progress of science and technology, integration and specialization of production and expansion of trade scope proceed，not only is finance a result of economy growth and development, but also a driving-power of economic growth and structure perfection. The role of finance is no means universal and unconditional, it depends on favorite situation at macro economic level, effective financial supervision, and healthy social environment and conscience's well.

Based on Theory of financial structure and regional financial theory, this paper empirically tested the relationship between economic growth in the region and area distribution of financial structure, confirmed the interaction mechanism between development of financial structure and economic growth, and examined the impact of differences in regional financial structure upon the regional economic non-balanced growth， revealed that differences in the regional financial structure is not only a reason for the difference in regional economic development, but also the reality of the consequences of differences in regional economic development. On this basis, through the study of statistical data from 1992 to 2007,from the whole country's difference，“eastern， middle and western” differences and“ inter-provincial” difference of “three-dimensional perspective", the characteristics and evolution of China regional financial structure differences of deposit and loans resources, equity financing, insurance premium income, the actual utilization of foreign capital, financial institutions etc. are depicted. Furthermore the mechanism and influence factors of distribution of regional financial structure differences are demonstrated. These evidences of evolution proved that the trend of expanding differences of China regional financial structure differences results from the dual role of “government failure” and “market failure” and revealed the nature of distribution differences of China regional financial structure is an gradual evolution process of Institutional Change from central government-oriented to local government-oriented to market-oriented. In the final part，from the points of appropriate difference and coordinated development of regional financial structure，the relative policy suggestions of control means and coordinate development are provided for China regional financial structure differences.

Read the article here:       【可持续发展】中国区域金融结构差异性分析.pdf