Regional Comparison of Bank Credit Influences on Economic Growth-Empirical Study in Jiangsu

摘要

With theoretical analysis concerning the effects of bank loans on economic growth, an entity fixed effects regression model is built with panel data of loan and economic growth collected from commercial banks in 13 cit ies of Jiangsu Province. It is used to empirically analy ze three problems related to bank credit: how loan contributes to main economic indicators, how these indicators influence loan-to-deposit ratio, and how the public react to bank credit. The empirical results show that the regional differences have a stronger influence on the economic growth of the 13 cities than that of bank credit.