Empirical study on the relationship between financial development and economic growth in China

摘要

This paper studies the relationship between financial development and economic growth based on the statistical data of 1992–2008 by using Granger causality test, the results show that: financial deepening can promote financial development, and contribute to economic growth; economic growth can improve the development of financial industry level; but at the present stage the relationship between financial development and economic development is still unidirectional causality, financial development did not play its due role in promoting economic growth, China's financial industry is still at low level.