A Research on Pro-Cyclicality of Finance System of China

Author

Zhou Hui ; Yuan Chuang ; Liu Canhui ; Huang Xi

Author_Institution

Sch. of Econ. & World Trade, Zhejiang Inst. of Finance & Econ., Hangzhou, China

fYear

2014

fDate

4-6 July 2014

Firstpage

69

Lastpage

73

Abstract

Empirical studies show that there is a clear pro-cyclicality in China´s financial system, which consists of commercial banks, securities firms, insurance companies and investment funds. The pro-cyclicality promotes the vulnerability of financial system and amplifies the volatility of macroeconomic cycles in China. China should accelerate the construction of a complete macro-prudential supervision framework which covers commercial banks, securities firms, insurance companies and investment funds in order to enhance the stability of financial system and promote healthy economic development.

Keywords

banking; insurance; investment; macroeconomics; China finance system procyclicality; commercial banks; healthy economic development; insurance companies; investment funds; macroeconomic cycles; macroprudential supervision framework; securities firms; Companies; Economic indicators; Insurance; Investment; Reactive power; Security; countercyclical supervision; financial system; macro-prudential supervision; pro-cyclicality;

fLanguage

English

Publisher

ieee

Conference_Titel

Computational Sciences and Optimization (CSO), 2014 Seventh International Joint Conference on

Conference_Location

Beijing

Print_ISBN

978-1-4799-5371-4

Type

conf

DOI

10.1109/CSO.2014.22

Filename

6923638