Author(s)

Shen Yachen

Corresponding Author

Shen Yachen

Abstract

With the continuous development of financial industry, it gradually forms financial agglomeration due to unbalanced spatial distribution. This study takes financial agglomeration as the research perspective, on the basis of revealing the mechanism of coordination and interaction between financial agglomeration and economic development, constructs the comprehensive evaluation index system of financial agglomeration and economic development, and empirically analyzes the promotion effect of financial agglomeration on economic development in Shaanxi province. Based on the time series data of banking, insurance and securities industry in Shaanxi province from 2009 to 2018, this paper uses the location quotient to describe the agglomeration level of financial industry in Shaanxi province. Through location quotient analysis, stationarity test, co-integration test, Granger causality test and regression analysis, an empirical analysis is conducted on the relationship between financial agglomeration and economic growth in Shaanxi province. In this way, the financing efficiency of enterprises can be improved, the industrial structure of Shaanxi province can be optimized, and the economy of Shaanxi province can be developed rapidly and harmoniously.

Keywords

Financial aggregation; Location quotient; Economic development