本期文章英文摘要

Toward Share Merger Reform， Property Rights， Competitive Environment and Corporate

Performance—Evidence from Chinese Listed Companies through 2005-2007

FENG Gen-fu， LIU Zhi-yong， WANG Xin-xia

Abstract: This paper focuses on the impact of share merger reform， property rights and competitive advantage on corporate performance with a sample of Chinese listed companies through 2005-2007. The findings of the research are as follows: (1) Share merger reform significantly improves the performance of listed companies; (2) The performance of state-owned listed companies is significantly better than that of private-owned before the reform， while the performance of the former is significantly poorer than that of the latter after the reform; (3) After the reform， the performance of private-owned listed companies is better than that of the state-owned in highly competitive industries while there is no significant difference between them in moderately or less competitive industries; (4) In highly competitive industries after the reform， the performance of private-owned listed companies is positively related with equity concentration. The results of this study show that the roles of property rights and competition are conditional. We finally propose some policy recommendations.

Key words: Share merger reform；Property rights；Competitive environment；Corporate performance

A Comparison between the Values of State-Owned Monopolistic and

Competitive Consumer Goods SectorsCHEN Zhong-chang， MENG Dan

（School of Trade and Public Administration， Chongqing University， Chongqing 400038， China）

Abstract: This article constructs a model with equity structure， market structure and firm value. We confirm that market structure is characterized by concurrence of monopoly and competition， and concentration of resource sector from state-owned enterprises. We conclude that the value of resource sector has been rapidly increasing and over-passing consumer goods sector. The article finds that the equity and firm value is characterized by inverse “U”shaped curve， with the equity structure of resource sector being beyond the conceptual optimal value interval while that of consumer goods sector being below the conceptual optimal value interval. We recommend that competition should be introduced into resource monopolistic sector， that consumer goods sector should be given more supervision and concentration， that monopolistic competition should be encouraged to replace the bipolar monopoly and competition coexistence to form optimal industrial organization form for technological innovation.

Key words:

Enterprise value; Monopolistic resources industry; Competitive consumer goods industry; Property right structure; Market structure

Determinant of Relational Information Processing: An Empirical Study

LU Tao

(The School of Management， Xi’an Jiaotong University， Xi’an 710049， China)

Abstract: How to improve customer relationship management is an urgent problem in practice. This paper builds a conceptual model about customer relationship orientation， customer-centric management system and relational information processes， and tests the relationship among these variables using data from Chinese bank industry. The empirical results show that customer relationship orientation and customer-centric management system both have positive effect on relational information process.

Key words:Customer relationship management; Customer relationship orientation; Customer-centric management system; Relationship Information Process

The Effects of FDI on Wages of China’s Domestic Firms

——An Empirical Study Based on Different Regions and Different Types of Labor

WANG Tian，LAN Yi-sheng

(Shanghai University of Finance and Economics， School of International Business

and Administration， Shanghai 200433)

Abstract: At present， measured by sales or employment， the share of FDI in China’s manufacturing sectors becomes increasing. Then， what effects does FDI have on wages of domestic firms? Using domestic manufacturing firm cross-section data from World Bank at eighteen cities in 2002， and dividing the eighteen cities into three groups according to the overall productivity level of these cities， the empirical analysis finds that the effects of FDI on different workers’ wage level are different， and if firms belong to different city groups， the effects are also different.

Key words: FDI; Production workers; Non-production workers; Wage

Toward Chinese Central and Local Government Relationships

LIU Cheng-li

（School of Economics， Renmin University of China， Beijing 100872， China）

Abstract:The Chinese central and local government relationships have been dynamically evolving since the foundation of P. R. China. The characteristics of central and local government relationships can be summarized as centralization-decentralization circular in the past planned economy period. By reforming fiscal system and government institutions， central-local relationships changed significantly， and China economic and political systems have made prominent progress since reform and opening-up policy. Nevertheless， there are many problems in this topic， such as the degree of centralization and decentralization， whether central and local governments should have financial resources proportionate to their duties and responsibilities， and the strength of central and local governments. Thus， we should take measures in economic and political systems to improve the central-local relationships including transforming government function， setting up public finance and optimizing administrative structure.

Key words:Contemporary China; Central and local government relationships; Economic and political systems

Empirical Research on the Cointegration between Excess Liquidity and Inflation in China

LIU Zuan-shi， LI Dan

(School of Economics， Fudan University， Shanghai 200433， China)

Abstract: We analyze systematically the various measurements of excess liquidity and the factors influencing inflation. We try to test the positive relationship between liquidity and inflation， using VAR model， based on Chinese quarterly data. We find that 1% increase in liquidity can result in 0.79% increase in CPI in the long run. Impulse response function and variance decomposition show that the impact of excess liquidity and overheated economy on inflation is persistent， while foreign inflation spillover effect is insignificant.

Key words:Liquidity; Inflation; VAR Model; Cointegration

An Empirical Analysis on the Variations and Fluctuations in China Trade Terms

HUANG Man-ying1， DENG Xiao-hong2

(1. Department of International Economics and Trade， Nankai University， Tianjin 300071， China;

2. School of International Trade and Economics， University of International

Business and Economics， Beijing 100029， China)

Abstract:Based on the Comtrade database of the United Nations Statistics Division， this paper analyses the variations and fluctuations in China’s terms of trade. Our conclusions are as follows. (1) Trade terms for preliminary products have been improved to some extent. However， the overall trade terms and those for finished goods are obviously deteriorating. (2) Before and after China’s accession to the WTO， the volatility of both overall and specific trade terms is sharply deteriorating. (3) The fluctuations in China trade terms are mainly due to the large export share for low technology products， the large import share for medium technology products and the imbalance of trade for medium technology products.

Key words:China; Terms of Trade; Volatility

Causality between Government and Private Consumption and China Economic Growth

YUAN Xiao-ling，YANG Wan-ping

(School of Economics and Finance， Xi’an Jiaotong University， Xi’an 710061， China）

Abstract:This paper empirically tests the relationships between government and Private consumption and China economic growth using co-integration analysis， granger causality testing and vector auto-regression with data through 1978-2006. The results show that long term equilibrium exists between government and private consumption and China economic growth， that private consumption is the main cause of economic growth while the increase in government consumption is the cause of increase in private consumption.

Key words:Government consumption; Private consumption; Economic development; Granger test; impulse response

FAN Li-ming， XIE E， SHI Shao-bin

(School of Economics， Shandong University， Jinan 250100，China）

Abstract:This paper analyzes the current situations of rural public goods based on 245 rural families in 3 provinces. The results show that farmers have urgent demand for public health services， medical treatment and farmland infrastructure. Farmers prefer hard public goods to the soft， tangible public goods to intangible， short-term to long-term demand， self-interest to societal interest. Farmers are satisfied with the new cooperative medical scheme and rural compulsive education， while dissatisfied with rural pension scheme， technology and information services and finance. Finally， we analyze the equilibrium matrix and put forward some suggestions according to the equilibrium on supply and demand and the satisfaction for rural public goods.

Key words:Farmers’demand; Rural public goods; Equilibrium on supply and demand

A Game Analysis on the Mechanism of Centralized Treasury Payment Operational Risk

DENG Xiao-lan， ZHANG Xu-tao

（School of Economics and Finance， Xi’an Jiaotong University， Xi’an 710061， China）

Abstract:Operational risks of centralized treasury payment refer to the possibility of violation operations in the treasury funds payment process. Under the framework of centralized treasury payment， treasury payment is a game process in which many parties take part，including public finance and budget departments， agent banks and the central bank. The article analyzes the causes of the violations in the centralized treasury payment from two aspects-internal mechanism and external factors， using the game theory. Finally， we propose recommendations to establish supervision and motivation schemes and to prevent such risks with viewpoint of optimizing the game rules.

Key words:Centralized Treasury Payment; Rule-breaking behavior; Game analysis; Supervision and motivation mechanism

Effect of Foreign Bank Entry on Credit Accession in the Developing Countries

WANG Bo， LIU Lan-biao

（Department of Finance， Nankai University， Tianjin 300071， China）

Abstract:It is one of the hot topics among academicians and public policy makers to guide foreign banks to increase credit accession especially for SMEs in developing countries. This paper builds a theoretical model to analyze the relationship between foreign banks and domestic credit supply and the effects of foreign bank entry from the viewpoint of market equilibrium， social welfare and cost efficiency. The model results indicate that it is not certain that the aggregate credit， cost efficiency and social welfare should increase with the process of foreign bank entry with a negative result for some parameters. Finally， we propose recommendations for China banking sector based on the findings.

Key words:Foreign bank; Financial accession; SMEs finance; Social welfare

Reflection on the Construction of Local Commercial Banking

LU Min-feng

(School of Economics， Nanjing University， Nanjing 210093， China)

Abstract: Local commercial banks refer to those under the supervision of county level government. Presently， the local commercial banks are composed of commercial joint-stock banks， rural cooperatives and such banks as China Commercial and Industrial Bank， Agricultural Bank of China， Bank of China， China Construction Bank， Bank of Communications. The state-owned commercial banks have massively drawn their branches from the county level districts to improve their profitability and concentration， while commercial joint-stock banks are not willing to extend in sub-developed regions and City Commercial Bank and Rural Cooperatives are not big enough to take a role. Thus， it is an important step to establish a local bank system with the domination of City Commercial Bank and Rural Cooperatives for the harmonious development of local economic growth and finance.

Key words:Banking system; Reconstruction

An Investigation of the Commercial Bank’s Excess Reserve Ratio Change

FANG Yi-qiang

(Shanghai University of Finance and Economics， Shanghai 200120， China)

Abstract: Controlling the level of excess reserves held by commercial banks is an important measure for central bank to achieve monetary policy target. The overall ratio of excess reserves held by China commercial banks is decreasing year by year， while the proportions held by the different commercial banks are quite different. The payment systems especially the large scale payment system play an important role in reducing the average level and fluctuation of excess reserves. Precaution motive could explain the reason of high excess reserve ratio in joint-stock commercial banks. The central bank should consider the influences of payment system and imbalance of excess reserve ratio in commercial bank in formulating monetary policy， as well as increase the transparency of monetary policy.

Key words: Excess reserve ratio; Payment system; Transaction motive; Precaution motive

Toward the Optimum Growth of Insurance Industry with Nonrenewable

Insurance Resources ConstraintPU Cheng-yi1， BO Pang-tuo2

（1. Research Centre of the Economy of the Upper Reaches of Yangtze River，

Chongqing Technology and Business University， Chongqing 400067， China;

2. Risk Management Insurance Department， Binhai School， Nankai University， Tianjin 300270， China）

Abstract: This paper analyses the optimum growth pattern for the sustainable development of insurance industry by establishing a mathematical function of the insurance resources input， the number of policies and the claim amount during a said period of the whole social economic system， and by using the fluctuation results of relevant controllable policy variables. The paper concludes that it is objective that there are sufficient conditions guaranteeing the premium income increase of a single policy. Thus， though restricted by nonrenewable insurance resources， it is possible to achieve the optimum growth of insurance industry through adjusting the relevant policy variables. In addition， the paper shows that the differences existed between the types of insurance industry structures in many countries and the patterns adopted for insurance industry growth are the facts that the specialized division of insurance under certain institutional and cultural background is to fit in with the needs of market game. If in the absence of institutional and cultural prerequisites for insurance development， it is hardly possible to push forward the optimum growth of insurance industry and to achieve economic growth eventually by limited to optimizing insurance industry’s structures.

Key words: Insurance resources; Industry growth path; Dynamic optimization analysis; China insurance industry

Toward the Development of China Productive Services Sector

HE Jun

(Institute of Finance Economics， Shanghai University of Finance and Economics， Shanghai 200433， China）

Abstract: The constraint of environment and resources and the need to update manufacture and traditional services make modern services industry a must in economic structure optimization and economic growth modes. The productive services industry is in rapid development in China with the promotion of industrial finance and global investment. This article analyzes the causes of rapid development in China and proposes two areas and three modes for China productive services.

Key words: Productive services industry; Motive; Space; Mode

The Social Evaluation in Shiliquan Straw Power Generation Project

CHEN Jian-hua， GUO Jue-e， XUE Dong， XI You-min

（School of Management， Xi’an Jiaotong University， Xi’an 710049， China）

Abstract: Straw power generation sets social， economic and environmental benefits in one， but under current fiscal and tax policies， its financial indicators are far below 600MW and above supercritical thermal power unit. Thus how to evaluate social benefits of straw power generation projects has become a major issue to be resolved. This paper estimates the social benefits from the perspectives of socio-economic， environment， ecology， natural resources and social adaptability with input-output technique and quantitative comparison. The results show that the thermal power replaced by Shiliquan straw power generation project will provide nearly 1000 employment jobs and save nearly 30 million RMB of environmental costs reduction， though it will decrease nearly 9 million RMB of local GDP each year.

Key words: Social assessment; Input-output; External costs

Research on Corporate Technological Advance in Under-Developed

Regions—With Cases from Gansu ProvinceFENG Zhi-ku

(School of Economics and Finance， Xi’an Jiaotong University， Xi’an 710061， China)

Abstract: This article proposes an analysis framework and conceptual hypotheses for corporate technological advance in under-developed regions based on internal factors and external environment for firms. We empirically test the hypotheses with SMEs cases from Gansu Province. We then analyze the roles of different factors on corporate technological ability.

Key words: Under-developed region; Small and Medium Enterprises (SMEs); Technological advance

Toward the Compensation Incentive in Venture Capital:

[JZ]Based on Multi-Principal Agency ModelJIANG Hai， LI Yun-hong

(Institute of Finance and Department of Finance， Jinan University， Guangzhou 510632， China)

Abstract: Moral hazard is highlighted in the process of venture capital due to serious asymmetric information and multi-principal agent relationships among venture investor， venture capitalist and venture entrepreneur. So the agency problem in venture capital is more complicated than that in general business. Therefore how to form incentive compatible mechanism via sound institutional design is a crucial issue for preventing moral hazard and for sustainable development of venture capital. Using multi-principal-agent model，our paper analyzes the optimal ratios of compensation and the equilibrium efforts of venture capitalist and venture entrepreneur under the linear contract. We find that the compensation ratios of investor and venture capitalist have significant impact on the performance of venture capital through exerting influence on their incentives.

Key words: Venture capital; Multi-Principal-Agent Model; Asymmetric information