Multi-level Choices and Innovation in China's Capital Market

Author: Zou Dewen
Publisher:
Publish Date: 2006-03-01
Features: The capital market is highly correlated with economic development and is interactive and unified. This book examines the capital market from the perspective of economic development. The capital market serves economic development, particularly the economy's total components—businesses. The size of business enterprises and the diversity of their financing needs fundamentally determine that the capital market should be multi-tiered. At the same time, the capital market also serves investors. Only a multi-tiered capital market can meet the diversified needs of investors. Therefore, only by establishing a multi-tiered trading market can we maximize the supply and demand for capital among market entities, efficiently optimize resource allocation, achieve comprehensive, coordinated, and sustainable development of the capital market, and thereby promote economic development. The development path of China's capital market has its own uniqueness, but the multi-tiered choice is its necessary path. A multi-tiered capital market will undoubtedly bring a spring to China's capital market. This book is revised based on the achievements of a national soft science research program project. Special thanks are due to Professor Cheng Siwei, Vice Chairman of the Standing Committee of the National People's Congress, for reviewing the project research report in his busy schedule. The capital market is highly correlated with economic development and is interactive and unified, and this book examines the capital market from the perspective of economic development. The capital market serves economic development, particularly the economy's total components—businesses. The size of business enterprises and the diversity of their financing needs fundamentally determine that the capital market should be multi-tiered. At the same time, the capital market also serves investors. Only a multi-tiered capital market can meet the diversified needs of investors. Therefore, only by establishing a multi-tiered trading market can we maximize the supply and demand for capital among market entities, efficiently optimize resource allocation, achieve comprehensive, coordinated, and sustainable development of the capital market, and thereby promote economic development. The development path of China's capital market has its own uniqueness, but the multi-tiered choice is its necessary path. A multi-tiered capital market will undoubtedly bring a spring to China's capital market. This book is revised based on the achievements of a national soft science research program project. Special thanks are due to Professor Cheng Siwei, Vice Chairman of the Standing Committee of the National People's Congress, for reviewing the project research report in his busy schedule.