Empirical Test of International Loan Ratio's Impact on Chinese Loan Ratio

Under the open economic circumstances, transnational corporations will compare the finance cost when doing the global finance.As a reauct, there is some internal relationship between each country's loan ratio.Through empirical test, this paper compares American domestic loan ratio with Chinese domestic loan ratio, finding that Chinese domestic loan ratio has a three-momth lag influenced by the international loan ratio.Besides, there was a weak relationship between Chinese loan ratio and foreign loan ratio before the exchange rate reform.After the reform, the relationship becomes closer.