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The tide of financial globalization is sweeping the world in an irresistible trend. As a trend, financial globalization has brought vitality to the development of the world economy on the one hand, but on the other hand, it has also posed a severe challenge to the financial security of all countries, especially developing countries. The impact of financial globalization on China's economic and financial development has both positive and negative effects.
1.The positive effect of financial globalization on China's finance.
1) Financial globalization is conducive to attracting foreign investment and accelerating the process of industrialization in China (2) Financial globalization is conducive to the introduction of advanced financial operation experience into China and improving financial efficiencyThe negative effects of financial globalization on China's finance.
1) Financial globalization has brought challenges to China's financial industry.
2) Financial globalization has created an environment for international investors to create financial risks, and (3) financial globalization has exacerbated the vulnerability of banks.
4) Financial globalization has made financial supervision more difficult.
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Answer: Hello, the globalization of the financial market refers to the transnational development of the financial industry, and the financial activities operate according to the same global rules, thus forming a trend of global integration. Take the Asian financial crisis in 97 as an example, it first broke out in Thailand, successively infected China, South Korea, Malaysia, Indonesia, and other Asian countries, and then jumped to Russia, Black Brothers and other countries, and although the subprime debt crisis originated in the United States, it has affected Europe and Japan and caused serious losses to Deutsche Bank, Credit Suisse and other banks.
1. The micro manifestations of financial globalization
From the micro level, since financial activities are capital transactions carried out by investors and financiers in the financial market through certain financial institutions and financial instruments, financial globalization is the globalization of financial activities. The globalization of financial activities can mainly include the following aspects:
First, the globalization of capital flows. With the globalization of investment and financing behavior, i.e., investors and financiers can choose the financial institutions and financial instruments that best meet their requirements on a global scale, capital flows have also become globalized. Since the 80s of the 20th century, international capital flows have shown a trend of continuous acceleration and expansion.
Especially since the 90s, international capital has swelled dramatically in unprecedented quantities, at an astonishing speed and in a rapidly changing form.
Second, the globalization of financial institutions. Financial institutions are the organizers and service providers of financial activities. The globalization of financial institutions refers to the establishment of branches abroad by financial institutions to form an international or global operation.
Since the 80s of the 20th century, in order to cope with the intensifying global competition in the financial services industry, large banks and other financial institutions in various countries have competed to expand their scale, expand their business scope and promote international operation as their strategic choices. Since the beginning of the 90s, some countries in the world have relaxed the restrictions on financial institutions of other countries to engage in financial business or set up branches in their own countries to varying degrees, thus promoting the expansion of banks in various countries overseas.
Third, the globalization of financial markets. The financial market is the carrier of financial activities, and the globalization of the financial market means that the market of financial transactions tends to be integrated beyond the limitations of time, space and geography. At present, the world's major international financial centers have been connected, and different types of financial markets around the world have become one, and financial markets are becoming more and more dependent and interrelated.
There are two important factors in the globalization of financial markets: one is to relax or remove restrictions on capital flows and cross-regional and cross-border operations of financial institutions, that is, financial liberalization; The second is financial innovation, including the creation of new financial instruments, financing methods and service methods, the application of new technologies, the development of new financial markets, and the implementation of new financial management or organizational forms.
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The impact of financial globalization is complex and affects different countries.
On the one hand, financial globalization promotes the cross-border flow of capital, and capital can flow freely to various countries in search of higher returns and investment opportunities, which provides developing countries with opportunities for external capital and investment, but may also increase the risk of the national economy.
On the other hand, financial globalization has encouraged the development and expansion of multinational corporations, which can more easily obtain international financing, conduct global business, and carry out cross-border mergers and acquisitions on a global scale, which has an important impact on economic growth, job creation and technology transfer.
At the same time, financial globalization has also brought about competition and innovation pressure, prompting financial institutions to provide more efficient, transparent and convenient services. Therefore, financial globalization is of great significance to the development of the global economy and financial system, and at the same time, it also requires countries to strengthen supervision and cooperation to deal with potential risks and challenges.
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capital flows, etc.
1. Financial globalization promotes the cross-border flow of capital, and funds can flow freely to various countries in order to seek higher returns and investment opportunities, which provides opportunities for external capital and investment for developing countries, but may also increase the risk of closing the economies of old countries.
2. Financial globalization has encouraged the development and expansion of multinational corporations, which can more easily obtain international financing, carry out global business, and carry out cross-border mergers and acquisitions on a global scale, which has an important impact on economic growth, job creation and technology transfer.
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1. Due to the market size.
The risk of uncontrolled regulation due to expansion.
The massive inflow of foreign capital and the extensive participation of foreign investors in tandem with internationalization are increasing the financial markets.
deep, improve the efficiency of the financial market at the same time, will lead to financial assets.
of rapid expansion. In the absence of sufficiently rigorous financial regulation, such expansion could be the source of an explosion of systemic risk.
2. The risk of rising volatility in the financial market.
From the perspective of international experience, for emerging financial markets with small scale and relatively low liquidity, the large inflow of foreign capital and the extensive participation of foreign investors accompanied by internationalization have increased the volatility of the market. Especially among some institutional investors.
The instability of the domestic financial market is even more pronounced when it becomes the main body of non-resident investment in such countries.
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Answer]: First of all, it marks the beginning of a country's establishment of a highly open economic system, and the national economy is closely linked with the world economy, and it also shows that the country's economic development has reached a fairly high level, and various systems and laws and regulations have been quite sound, and it has the ability to compete internationally. Second, due to the internationalization of finance, a country's enterprises can raise funds to meet their needs, and the cost of raising funds is relatively low.
Third, financial internationalization is also conducive to improving the competitiveness of financial institutions. Finally, financial internationalization is also conducive to cultivating international talents in the financial industry, and is conducive to improving and perfecting various relevant systems, laws, and business norms.
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Summary. Please tell me about the specific question, dear.
Please tell me about the specific question, dear.
How to write these three questions?
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Financial globalization will enable the world economy to achieve great development, and each will take what it needs and allocate resources in a rational manner. But the negative effect is the Matthew effect, which makes rich countries richer and poor countries poorer.