Original Articles
Yougang Wang, Gang Chen, Xiaom
Abstract
With the continuous development and evolution of economic research, the theoretical results of financial development are fruitful. Based on 1980- 201 0 annual time series data, by using co-integration and the Granger Causal ity test , and adopting financial scale expansion, i.e. finance -related ratio indicators, and the financial development efficien cy indicators, i.e. deposit -to-loan ratio indicators , this paper studies the causality direction problem between financial development and economic growth of Anhui Province. The conclusion is that there exists bidirectional causality between financial scal e expansion and economic growth in Anhui . In addition, the efficiency of financial development is a key factor in economic growth, but in reverse, economic growth does not promote the efficiency of financial development. Finally, through combining the actual situation of Anhui Province, it propose s suggestions conducive to its sustainable economic development