Research Of Informal Institution And The Credit Behavior Of Peasant Households

The two "documents No.1" made by the CPC Central Committee and State Council in 2004 and 2006 both paid great attention to the increasing of farmer's income and the construction of countryside. And in the part of rural reform, the two documents both talked about the innovation of rural financial mechanism. It is suggested in the documents that establishing all kinds of rural financial organizations actively, fostering micro credit organizations which were funds by persons, enterprises and groups, leading rural households to develop financial funds, and regulating the private credits. From these documents, we can see that it has become an important task to innovate our rural financial system, foster rural financial organizations that are close to the peasants, and regulate the private credits. So, it is meaningful for us to answer the questions such as how the organizations of peasant credit economize the information cost and inspecting expense thus availably, how the village confidence is formed, and how the behavior in the process of peasant credit develops.This text is divided into six chapters totally. Chapter one makes a research into the informal institutions in the credit process of peasant households, pointing out the contents and functions of the institution. Chapter two focus on the ways to establish the village confidence mechanism making use of the is a model of complete and dynamic information game, putting forward four measures for it, such as building up the trust in long- term cooperation, through the group loan or mortgaging guarantee, and achieving it through interactive trades. Chapter three emphasize the relationship between the informal institution and the credit behavior of peasant households,...