Proceedings of the 6th International Conference on Humanities and Social Science Research (ICHSSR 2020)

Research on the Relationship Between the Volume of Shenzhen Stock Market and Economic Growth

Authors
Guanglu Li, Susheng Wang
Corresponding Author
Guanglu Li
Available Online 1 May 2020.
DOI
https://doi.org/10.2991/assehr.k.200428.036How to use a DOI?
Keywords
volume, Shenzhen stock market, the GDP growth, over booming stock market, crowding out effect
Abstract
In 2019, the trading volume of Shenzhen stock market increased by 46.38%,which contributing 0.1% to China’s GDP growth, 0.41% to Guangdong’s GDP growth and 0.30% to Shenzhen’s GDP growth. The impact of the turnover of stock market on economic growth is different in different stages of the development of stock market in China. Under the current economic situation, the turnover of stock market is highly positively related to economic growth. According to the impact of turnover growth on the growth of financial industry, the result of estimating the growth of turnover growth on GDP growth in Shenzhen stock market shows that every doubling of turnover growth in Shenzhen stock market can contribute 0.24% to China’s GDP growth, 0.93% to Guangdong’s GDP growth, and 0.60% to Shenzhen’s GDP growth. From the perspective of the development of the securities market, moderately prosperous stock market can improve the efficiency of market resource allocation, expand the scale of corporate direct financing and enhance the expected economic growth, and promote the development of the real economy. The over booming stock market will not only cause crowding out of savings, but also lead to stock market bubbles, increase market risk exposure, and endanger financial stability.
Open Access
This is an open access article distributed under the CC BY-NC license.

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Cite this article

TY  - CONF
AU  - Guanglu Li
AU  - Susheng Wang
PY  - 2020
DA  - 2020/05/01
TI  - Research on the Relationship Between the Volume of Shenzhen Stock Market and Economic Growth
BT  - Proceedings of the 6th International Conference on Humanities and Social Science Research (ICHSSR 2020)
PB  - Atlantis Press
SP  - 154
EP  - 158
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.200428.036
DO  - https://doi.org/10.2991/assehr.k.200428.036
ID  - Li2020
ER  -