Regional Heterogeneity Analysis of Macroprudential Policy Responses

DOI

10.2991/assehr.k.220504.019How to use a DOI?

Keywords

macro-prudential policy; regional effect; industrial structure; financial development index; counter-cyclical regulation

Abstract

The global financial crisis in 2008 made people realize that the role of monetary policy in maintaining financial system stability is limited. In that case, macro-prudential policy came into being. At present, there is a lack of related research on the evaluation of this policy effect. Given this, this paper constructs a macro-prudential policy response index, which scales the policy responses from 31 provincial-level administrative regions for 45 quarters from 2010 to 2021. Besides, a fixed-effect model was used to attribute the differences of performance results. The results show four: (1) The macro-prudential policy responses of China regions can be divided into four: the response invalid region, the typical response region, the excellent response region, and the excessive response region. (2) The provincial macro-prudential policy response is related to financial development: The higher the financial development, the stronger the macro-prudential policy response. (3) The macro-prudential policy response of provincial-level administrative regions is also related to the advanced industrial structure. The higher the provincial administrative region, the stronger the macro-prudential policy response. (4) The difference in the macro-prudential policy response is also affected by the rationality of the regional industrial structure. The lower the need for intervention, the more likely the market’s self-regulatory effects are offsetting each other.

Copyright

© 2022 The Authors. Published by Atlantis Press SARL.

Open Access

This is an open access article distributed under the CC BY-NC 4.0 license.

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TY  - CONF
AU  - Tangle Zhou
PY  - 2022
DA  - 2022/06/01
TI  - Regional Heterogeneity Analysis of Macroprudential Policy Responses
BT  - Proceedings of the 2022 8th International Conference on Humanities and Social Science Research (ICHSSR 2022)
PB  - Atlantis Press
SP  - 97
EP  - 102
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.220504.019
DO  - 10.2991/assehr.k.220504.019
ID  - Zhou2022
ER  -