Research On The Rural Households’ Borrowing Behaviors In Shannxi Province，P.R.china

China, as a large agricultural country, solve the "Three Rural Issues"(rural areas,agriculture and farmers) has great significance in promoting the development of the nationaleconomy and farmers’ income levels, China’s rural economy is at the stage of transition fromtraditional agriculture to modern agriculture, the slow growth of farmers’ income, furtherwidening the income gap between urban and rural areas, and farmers need external financingto develop production and increase income.With the development of the financial reform,China’s rural area initially formed a multi-level, wide coverage of the rural financial system.But China’s vast territory, large population, agricultural and rural economic development levelis unbalanced, Shaanxi as western big agricultural province, the level of economicdevelopment is relatively backward, rural per capita net income is low, inadequate ruralfinancial services network, rural capital supply and farmers’ difficulty in getting loans are stillexist. Therefore, from the angle of the farmers demand, grasps the farmer credit behaviorcharacteristics and the influence factors, to seek the cause of the western underdevelopedareas of rural financial supply and demand imbalance, is of great significance to promote ruralfinancial development.Based on the above research background, This dissertation treat the Shaanxi farmersborrowing behavior as reasearch objective, use the theory of rural financial development, therural household economic behavior theory and behavioral finance theory. On the basis ofsurvey found that there is the imbalance between supply and demand situation in ruralhouseholds borrowing, the supply and demand balanced way is to select the appropriategovernment intervention, rural lending market based on market mechanisms mixed growthmode, play the role of market allocation of resources in the rural finance, with full respect forthe endogenous financial demands of farmers. Using the general statistical method todescribed the the farmers borrowing behaviors, savings behaviors and capital loan behaviors,followed by the use of Probit model analyze the factors that affect the rural householdslending practices willingness, specific factors affect the households behavior from formalfinancial institutions and non-formal financial institutions, then analyze the borrowingbehavior of the credit cooperatives Qianyang County, Shaanxi Province, to identify disadvantages factors that impact households borrowing from rural credit cooperatives, at last,on the farmers borrowing requirements-oriented, build rural financial system in line with thecharacteristics of the farmers borrowing, innovation in rural financial products and services,the government guide the rural financial market effectively, optimize the behavior of farmersborrowing.This research main content is as follows:Chapter one：Introduction. This chapter mainly about the research background andpurpose, theoretical and practical significance; literature review. On the basis of relevanttheories and research, puts forward the research ideas, research methods, the main contentsand possible innovation of this dissertation.Chapter two; Theory basis. Introduce the ralated theory of this paper, including the ruralfinancial theory, behavioral economics theory and the financial and economic developmenttheory, theory of rural household economic behavior, and the influence of the theory analysisof rural household borrowing.Chapter three, The macroeconomic conditions of Shaanxi farmers borrowing behavioranalysis. First, analyzed the importance of the development of rural financial instructionsfrom urban-rural income gap. Second, used the macro data of formal financial institutionsabout the farmers borrowing market, estimates the financial depth and breadth of southernShaanxi, Guanzhong and northern Shaanxi, found the rural financial development existssignificant regional differences in Shaanxi Province. Empirical analysis that there arelong-term and stable relationship between the rural financial development and farmer’sincome growth in Shaanxi and the correlation is close. the role of the rural financialdevelopment of farmers’ income work slowlyin the short term, the rural financial developmentpromotes the farmer income growth in the long term.Chapter four：The basic characteristics of rural householdssborrowing behaviors inShaanxi province. Through on-the-spot investigation, analysis the current characteristics ofrural household borrowing behavior, using the general statistical analysis found thatborrowing needs of farmers in Shanxi Province is more common, almost half of householdshave borrowing willings. The purposes of loan are diversified, living lending accounted forthe largest, rural household borrowing has obvious seasonal and shorter loan period. Ruralcredit cooperatives is the first borrowing channels for rural household, the main factorsinfluencing the farmers to apply for a loan is a cost problem, and the key factor that thehouseholds get loans is family repayment ability, the majority of farmers understand the ruralcredit cooperatives to carry out the micro-credit loan business, most farmers considerateborrowing money from relatives and friends, more than half of farmers obtained loans from relatives and friends, and most of the loan is non-interest. Rural areas in Shaanxi Provincehave private lending,, but not universal. Formal financial institutions are the first choice forpeasant household savings.Chapter five：Analysis the influencing factors of rural households’ borrowing behavior inShaanxi. Divided peasant household borrowing factors into several categories according thenature of factors, build the theory hypothesis, and using the household data and Probit modelto analyze the main factors affect shaanxi farmer borrowing behaviors, get the significantfactors affecting farmers make borrowing choice. Farmer household savings level factor hasthe negative significant influence on farmer credit demand,formal financial channel andinformal financial channel, the households’ income level has the negative significantinfluence on two aspects of farmers demand for credit and informal financial channel.Microfinance cognition level and the cultivated land area have positive significant impact onrural households’borrowing behavior, the formal financial channel and informal financialchannel.Chapter six：Analysis the rural householdssborrowing behaviors of Qianyang County inShaanxi province.The informal financial sector farmers reflect more sensitive than the formalfinancial sector, the formal financial sector should improve mutual understanding betweenfarmers and strengthen advocacy and innovation of products and services. In order to furtherreveal the reasons that the rural households borrowing requirements from formal financialinstitutions are not met. Through the typical investigation about Qianyang farmers borrowingbehavior in Shaanxi province, the result showed that more than60%farmers in this region getcredit funds from the formal financial channels, promote the farmers’ income and improverural living and production conditions effectively. Analyze the factors that influence farmersborrowing from the rural credit cooperatives and friends, select the unfavorable factorsinfluencing loans from the rural credit cooperatives, in order to make it give better service forfarmers’ income and rural economic development.Chapter seven：Analysis the contradiction of farmers’ credit demand and supply inShaanxi province. Above section shows that rural credit cooperatives financial supply cannotmeet the demand of farmers diversified financing, features of personal and family farmers andproduction are the important factors that affect farmers borrowing behavior choice, Shaanxifarmer credit supply does not match the demand, need to seek reasons from both sides of ruralcredit cooperatives and farmers. Implementation of farmer credit supply and demandequilibrium approach is to choose the moderate government intervention, on the basis ofmarket mechanism of rural lending markets mixed growth model, continue to deepen reformof rural credit cooperatives, and fully consider and respect the farmer’s endogenous borrowing demand characteristicsChapter eight: Policies for improving rural financial services. In order to improve thepromotion of rural economic stability and sustained and rapid development in Shaanxiprovince, the current rural finance should reform the rural credit cooperatives according as thetheme, gradually improve the policy financial business, and standardize and guide the privatefinancial organizations, to jointly create a harmonious and efficient rural financial system. Tolift rural financial repression and improve the rural financial support for rural economicgrowth, must accelerate the rural financial system innovation, optimize the externalenvironment of the rural financial development.Chapter nine: The conclusion. Introduced the background and the main founds of thisthesis. The deficiency and the future research are also discussed.