The Empirical Research of Chinese Banking Market Structure and Regional Economic Growth

Based on China's economic development and banking market structure, the country is divided into eastern, central and western regions; this paper using the three regional panel data from 1997 to 2009, with four state-owned commercial bank's market share of the main metrics analyzed banking market structure and economic growth relationship. The study found that China's banking market structure and economic growth there is a significant negative correlation, the reduction of China's banking market structure can effectively promote economic growth, and then, this paper put forward relevant policy recommendations.