The Theoretical and Empirical Research about Chinese Government's Bailout in the International Financial Crisis

摘要

The international finance crisis which began in the U.S. has caused China to encounter severe external economy impact. Facing the crisis, Central Party Committee and Central Government of China makes the rapid reaction. This article will try to use the performance of portfolio analysis to study the positive effects and negative effects of the government bailout on the economy. By comparing the positive effects and negative effects to theoretically demonstrate whether it is necessary to financial crisis bailout. At the same time this article will use the performance analysis of empirical methods to test the results of the analysis of the theoretical model. And finally, this paper based on the theoretical and empirical analysis of the results of financial crisis proves whether there is a need for a bailout.