WEN Bohui：etc：The Invulnerability of China's Banking System under the Stock-Flow Consistent Framework——Based on the Asset Price Fluctuation

Abstract：Based on the stock-flow consistent framework and contingent claims analysis, and from two aspects, which are macro and micro view containing macro-prudential regulation and time section, this paper studies the invulnerability of China's banking system under the asset price fluctuation.The study shows that:(1)the natural connectivity of network can well reflect the dynamic change of China's banking system invulnerability, and the vulnerability in post-crisis era is also very important in China;(2)the characteristic of network's invulnerability is different in heterogeneous risk situation of different impact allocation strategy.Compared to the impact of different asset attributes, the fluctuation of fixed asset price and banking sector stock price has stronger impact on invulnerability.In the meantime, the invulnerability of China's banking system is the worst under strong allocation sub-strategy of selective impact allocation.The study is important for systemic risk management of complex financial network, and is useful for macro-prudential modeling and regulation.

Key words： Stock-Flow Consistent    Contingent Claims Analysis    Natural Connectivity of Network    Invulnerabilty   Banking System

source:Finance & Trade Economics ,No.9,2015