Financial Fragility and the Study of KLR Signal Model Critical Value in China

  • Jin Ling
  • Han Boyin
  • Cai Miao
Conference paper
Part of the Advances in Intelligent and Soft Computing book series (AINSC, volume 158)


Subprime crisis, which happened in America, exacerbated the financial fragility all over the world. With the world economic recession, the possibility of the second bottom is higher than expected. Studying financial fragility in China is of great significance at this time. The measurements of the financial fragility have many standards and every standard has advantages and disadvantages. This article chose the most common method of measuring the financial fragility and got the indexes of China’s financial fragility in 1998~2009. Then according to fitting the macro-economic indicators and the financial fragility indexes, this paper calculated KLR signal model critical value in China, contrasted with the international standards and analyzed the financial fragility in China. At last, this article provided some decision-makings for China’s development.


financial fragility KLR signal model macroeconomic indicators 


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Copyright information

© Springer-Verlag GmbH Berlin Heidelberg 2012

Authors and Affiliations

  1. 1.College of EconomicTianjin Polytechnic UniversityTianjinChina
  2. 2.Economics and Business AdministrationHei Long Jiang UniversityHeilongjiangChina

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