Empirical analysis of the relation of financial development with economic growth in Jiangxi

Through regression analysis of economic growth and financial development data of Jiangxi from 1978 to 2006,it is shown that the economic growth has significance relativity with financial development.Cointegration analysis and causal test show that the economic growth and financial development have long-term stable equilibrium relation.Financial development is the one-way Granger cause.The reform of the present economic development system and innovative financial system is of great significance to the economic growth and financial development.