Impact of the joint-stock reform of commercial banks on the effectiveness of monetary policy in China
Over the past decade, the Chinese government has conducted the joint-stock reform of state-owned commercial banks. The joint-stock reform improves the marketization level of the ownership structure of commercial banks and consequently leads to impacts on the effectiveness of monetary policy...
Main Authors: | , |
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Format: | Article |
Language: | English |
Published: |
Economists' Association of Vojvodina
2016-01-01
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Series: | Panoeconomicus |
Subjects: | |
Online Access: | http://www.doiserbia.nb.rs/img/doi/1452-595X/2016/1452-595X1603325F.pdf |
Summary: | Over the past decade, the Chinese government has conducted the joint-stock
reform of state-owned commercial banks. The joint-stock reform improves the
marketization level of the ownership structure of commercial banks and
consequently leads to impacts on the effectiveness of monetary policy. This
paper first presents the impacting mechanisms of the joint-stock reform of
commercial banks on the effectiveness of monetary policy and then constructs
an empirical model to test those impacts. The empirical results show that the
increasing degree of joint-stock reform of commercial banks enhances the
effectiveness of expansionary monetary policy but weakens the effectiveness
of contractionary monetary policy in China. |
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ISSN: | 1452-595X 2217-2386 |