Abstrat:This paper constructs the China Multi-regional input-output model. Based on the model, we discuss the interregional linkages between Beijing and its surrounding area and the rest of China. Then we analyze the impact of Olympic-related investments on the economic development of these three regions. It shows that the rather closed economic linkage among regions is the important factor for regional economic development. From 2002 to 2007, Olympic-related investments will add 2.02% of gross regional products of Beijing annually. At the same time, the Olympic-related investments have strong spillover effect, which contributes the out-of-Beijing regions economic growth greatly.

Abstrat:We compile labor input indices which captures both change in the number of employment and improvement in quality of labor for Chinese economy from 1982 to 2000, and find that the labor input indices grows by 3.23% per annum for the period, while the annual growth rate of employment is only 1.8%. The gap between the two indices growth rates can be regarded as an indicator of contribution of improvement in quality of labor to labor input, which accounts for 44% of growth of labor input. The contribution of improved labor quality has increased over time, from 21% for years of 1982 through 1987 to 68% for years of 1995 through 2000. Decomposition of change in labor quality shows that shift of employment from agricultural sector into non-agricultural sector and improvement in educational attainment of employment are two major sources of the improvement in the quality of labor.

Abstrat:Incorporating the impact factor of social trust, this paper investigates various factors that decide the efficiency of the financial sector performance on a broad foundation. In this paper, we try to find out the internal relationship between social trust, financial system structure and the financial performance. Empirical analysis shows that social trust has a significant impact on the efficiency of the financial system and the choice of the financial structure. More over, the origin of law tradition and the governance quality of the government also exert a profound influence on the financial system structure and this in turn affects the efficiency of the financial sector.

Abstrat:The paper uses Nelson-Siegel model continuously estimates the curve of the term structure of interest rates in China. The paper testes the power of future interest rates forecasting spot interest rates aftertime. Based on analyzing the change in the curve of the term structure of interest rates, the paper analyzes the effect of monetary policy actions of Peoples Bank of China, and researches the relation between the term structure of interest rates and future inflation. The research result of the paper shows that the term structure of interest rates can provide a lot of useful information for monetary policy in China.

Abstrat:This paper aims to determine how increasing goods and financial market integration changes the effectiveness of shock of fiscal Policy, monetary supply, interest rate and labor supply. Expansionary macroeconomic policies are analyzed under different degrees of goods and financial market integration in a dynamic general equilibrium framework with different foreign exchange regime. Simulations and empirical evidence show that the link between the effectiveness of macroeconomic policies and economic openness is nonlinear,namely the effectiveness of macroeconomic policy tools changes significantly depending not only on the magnitude of adjustment costs and transport costs, but also on the interactions between goods and financial market integration.

Abstrat:In Chinese transition economy, government regulation could be a substitute for the lack of law mechanism and regulators power could spill over into other areas not regulated. Then, theoretically it could construct implicit contracts. For example, CSRC has the rights to choose IPO firms among applicants. It might construct implicit contracts between CSRC and local governments if the former considers the frequency and the consequences of the scandals among different areas. Local governments could make decisions to whether to implement and how much to implement the implicit contracts. The above theoretical predictions are supported by our empirical evidence.

Abstrat:The coexistence of tradable and non-tradable shares affects the calculations of the market value of a firm, and influences virtually all the results in the empirical capital market research using data from China. The effect arises from the finding that each non-tradable share is worth less than one tradable share. The problem will continue to exist for any research utilizing historical data before the combination of two types of shares. We show that different assumptions about the price of non-tradable shares lead to significantly different empirical results, and a scientific correction is of crucial importance. In this paper, we propose a method which defines the price of a non-tradable share as a fraction of that of a tradable share. The fraction is then estimated through a model. We show that our method leads to estimates that are economically more meaningful than existing alternatives. As an extension of our method, we study the whether the tradable shares were compensated fairly during the reform of the split share structure. We find tradable shares are fairly compensated for the companies with lower fraction of non-tradable shares. For firms with high fraction of non-tradable shares, tradable shares were exploited by the non-tradable shareholders.

Abstrat:The allocation of control rights and the provision of incentives are two fundamentals in corporate governance. This paper analyzes the conflicts between control rights and incentives resulted from private interests of principals, and tests the hypothesis with data from Chinese listed companies. We find that the coefficient of the interaction between the control rights of large shareholders and the managers incentives is significantly negative, and the degree of such conflicts depends on the property ownership and the growth rate of companies. The degree of conflicts is significantly lower in private owned companies, while significantly higher in companies owned by the Committee of State Asset Management, and will increase with the growth of companies. These results can explain the zero or negative effects of stock incentives on corporate performance in Chinese SOEs, and argue the previous findings which take ownership structure as necessary for the effectiveness of stock incentives.

Abstrat:The paper outlines the framework and contributions of MPF Market-preserving Federalism. However, it focuses on the defects of MPF, which bases on neoclassical theory of competition and classical agent theory, and simply looks government organization as a firm. As a result, MPF is in lack of micro political foundation;It cannot deeply and comprehensively indicates the special role of the central government in politics and economy; it looks over the necessary conditions that make decentralization efficient; it is very difficult to analyze the negative effects of decentralization and inter-jurisdiction competition; Moreover, it cannot explore the optimal decentralization, hierarchies, or path of decentralization. Therefore, MPF is far from answering what institutions motivate politicians to preserve market. Finally, we put forward some ways to improve the research on the interaction of the government organization and economy.

Abstrat:This paper focuses on the regional market integration under interjurisdictional competition in China from the perspective of positive market spillover effects. Income gaps between different regions are the impeding power of regional market integration, and positive market spillover effects are the propelling force of regional market integration. The developed region will exert effort to integrate the less-developed regions market according to its cost-benefit tradeoff based on the well-known political promotion incentive. The central governments political performance evaluation methods will play a first-order role in determining the developed local governments effort to integrate market.

Abstrat:Based on the comparison of SNA, SSDS and SEEA of U.N. the paper puts forwards the idea and theoretical base to extend the Chinese SNA. The article holds on that the Chinese extensive-SNA could be constructed by the designing the social accounting matrix and the satellite accounts, and then measures the environment and resources and the results of the social activities. The SAM and SA are provided under the Chinese extensive-SNA in the article which testifies the actuality and reality to extend the Chinese SNA from the two sides of the theory and practices.

Abstrat:The paper explores the determinants of choosing location of transnational corporations TNCs, based on analysing data of value chain of TNCs in China. The research shows the evidences that scale of economy, transportation and financial environment are more important determining factors to manufacturing TNCs in China, and TNCs R&D activities are tending to relocate the regions or cities where human resource are abundant and communication is in good condition. For managing branches of TNCs in China, the geographic advantanges, institutional transparency and well-developed service industries are the most important location determinants. We argue in the paper that low cost of labor is not the key factor for high end TNCs in choosing location.

Abstrat:The stock market which developed with the social economy during a certain stage could not only be used to raise money to give impetus to the economic development but also directly reflect the characteristics and the problems existed in the social economic structure. The characteristics of the stock market in modern China mainly appeared in several aspects: there were several stock exchanges which registered in different countries in the meantime and six speculation climax in modern China; the stock market were used to serve the government finance. The characteristics of the stock market were not only an improper phenomenon but also an important reason that the stock market in modern China couldnt develop normally. In addition, the special business traditional practice that business enterprise and firms could absorb the social savings which formed in the long history of several thousands years was also an important factor which restricted the development of the stock market in modern China.