China Financial Theory Frontier.3

Author: Li Yang
Publisher:
Publish Date: 2003-12-01
Features: Since the late 1990s, the development of the venture capital system has become a hot topic in the global economic community. Governments around the world have invested significant resources and financial support to foster the growth of their domestic venture capital systems. The fundamental reason for this trend lies in the fact that the global economy has entered a new era based on knowledge. The defining characteristics of this era are that knowledge-intensive industries have become the core of all industries, serving as the decisive factor for a country to gain long-term competitive advantages. In the long run, it is not the increase in capital investment (accumulation) and labor input, but the development of human resources and the resulting technological advancements, that become the key driving forces for sustainable economic growth. To promote technological progress, particularly the industrialization of high-tech industries, the key lies in creating an effective financial support system. In this sense, establishing a venture capital system is a strategic initiative for China to maintain its leading position in the world in the 21st century. The content covers hot and focal issues in the field of finance, primarily including the achievements and practical reforms of China's financial sector, financial structure, financial system, financial marketization, behavioral finance, financial insurance, financial risk management, financial regulatory systems, foreign exchange markets, reforms in rural credit cooperatives, and lessons learned from international financial achievements. It also points out the future direction of financial sector development.