Empirical Analysis of Impact of Commercial Bank Property Right Reform on Monetary Policy Effect

Xiaodan Li

Shanghai Jian Qiao University, Shanghai, 201306, China

Abstract: This paper constructs the theoretical model of the effect of the property right change of commercial banks on the effect of monetary policy, and empirically tests the influence of the property right change of commercial banks on the monetary policy effect based on the sample data of China from January 2000 to November 2010. The study shows that the reform of the property right system of commercial banks will affect the price level by changing the speed of currency circulation, and the higher the market level of the property rights of commercial banks, the more beneficial to the improvement of the loose monetary policy. The higher the market level of the property rights of commercial banks, the more obvious the weakening effect of the tightening monetary policy effect. Obvious. Finally, this paper puts forward some policy suggestions to improve the pertinence and effectiveness of our monetary policy.

Keywords: Commercial Bank; Property right reform; Monetary policy effect