A Study On Farmers' Financial Cooperation In Western China

Rural areas and agriculture are the foundation of our country, and its status highlight again after18th CPC National Congress.18th CPC National Congress pointed out that "Our country should increase the support to rural and western areas, and to support these areas to speed up the reform and opening up, enhance the capacity of development", this bring new opportunities for rural economic development in the western regions. The discourse of Third Plenary Session of18:Our country should encourage the development of rural cooperative economy, allow project financial funds to invest directly to the eligible cooperation organization, allow assets in the form of financial aid to transfer to cooperation organization and let them hold and manage it, and allow the cooperatives to carry on credit cooperation pointed directly to the rural cooperative economy. In2014"three rural issues" was written to the central No.1file again, which manifested CPC and the State Council’s attention to the "three rural issues". Third Plenary Session of18and the central No.1file introduced guiding measures to the development and grandness of rural cooperative finance, shows rural cooperative finance the important significance in the process of agricultural development. Therefore, exploring the direction of the rural cooperative financial system innovation, deepening the reform of the rural cooperative financial system and promoting the development of rural cooperative financial markets has a great practical significance.Promoting rural cooperative financial system reform and innovation needs to start from the actual conditions of rural areas and the demand of peasant households. However, the current theoretical study on rural cooperatives financial systems and organization form. In the central and local rural cooperative financial reform practice, they concerns on how to repair the existing system of rural credit cooperatives, expand the supply of rural cooperative finance. The main demand body of the rural financial service-farmers are out of the affairs, ignored the study of farmers’behavior, and the farmers’behavior was regarded as exogenous variables, which resulted that the farmers passively participated in the reform process, and the reform was far away from the expected performance. In fact, the farmers behavior is the microcosmic basis of rural cooperative finance system, it is a critical endogenous variables to the success of the rural financial cooperation reform. After empirically analyze on financial supply, demand cooperation, inherent logic, the game process and the influence factors, then we will profound analysis of the current problems of cooperative financial system, and accordingly promote and perfect.This article,based on the previous studies about the rural finance did by scholars at home and abroad, from the perspective of farmers financial cooperation behavior, using the combination research methods of empirical and normative, qualitative and quantitative, micro and macro, after analyzing on China’s western region farmers financing demand and cooperation financial supply, we comply with the modern economics research paradigm to build farmers financial cooperation behavior theoretical analysis framework,and use game theory to analyze farmers financial cooperation equilibrium, to validate logic and empirical the farmers financial cooperation behavior. Then put forward China’s western region of rural cooperative financial path selection and some ideas of further reform. It provide a certain amount of micro support for further exploring our country rural cooperative financial system innovation, solving the problem of the bottleneck of the rural economy development, promoting the deepening.and development of our country rural financial.The article’s main innovations and achievements are the folio wings:First, rural cooperative finance has been the hot research of "three agriculture issues" and finance, but through the system combing and summary of the literature of current research, we can find that the current research literature focus on rural cooperative finance system transformation, the choice of mode, the problem of property a lot. There are few literatures on the basis of rural cooperative finance system, from the perspective of farmers, the farmers financial cooperative behavior integrated in a complete unified analysis framework. In the study of rural cooperative finance, if we pay attention to the analysis and inspection of the micro demand main body, it will be more conducive to improving the efficiency of the system. Research of this paper was based on this consideration, pay attention to the farmers in rural cooperative financial system, so as to consolidate the microcosmic foundation, increase the strength and reliability of the researchSecond, past research mainly analyze farmers financing demand and its influencing factors through descriptive statistics and measurement methods, in constructing a theoretical analysis framework, it use basically qualitative analysis methods, the choice of the main body of cooperative finance farmers hypothesis and analysis of the game process is relatively low. In this paper by the mathematical model deriving, we analyze the demand of farmers financing, financing preference, and financing activities. Based on the lineage of modern economics analysis and established the theoretical analysis framework of farmers cooperative behavior, we inspect farmers financial cooperation behavior of the western region from the mathematical logic and the game analysis, modeling derivation of farmers financing needs, preferences and equilibrium. It draws the conclusion of farmers’financial cooperation system demand, but their actions are susceptible to a number of constraints.Finally, the present study on farmer’s borrowing behavior is mostly using a descriptive statistical analysis and empirical analysis methods of Logistic and Probit measurement model. There are error in general measurement variables in the process of measurement, and the relationship between variables is complex, as.a result, the traditional regression methods are unable to fully, reasonably and effectively reveal the structural relationship between them. Structural equation model explored the relationship between the theory and concept and structural statistical method, which can overcome the above difficulties. It not only allowed the existence of measuring error, but also analyzed multiple structural relationships between the latent variables at the same time. This paper based on the field questionnaire survey data from farmers on the spot constructed the system structure equation model (SEM) which influencing the farmers’financial cooperation behavior, and explored the factors influence each other. On this foundation, econometric analysis was conducted through binary Logistic model on farmers’financial cooperative behavior, conclusion, further found the factors affecting the behavior of farmers financial cooperation, and the two models obtained the consistent.