Studies On Borrowing Behavior Of Outgoing Farmer-Worker Households In Shandong Province

Rural Finance's core issue is the financial needs of farmers, particularly unable to meet farmers'loan demand. In the past few years, the Government and the rural credit cooperatives had been aware of the existence of these problems and had taken a series of measures, but it seems now the effectiveness of these measures is not great, and there are still a lot of problems in the supply of Rural Finance, also the farmers'borrowing needs could not be met. In recent years, as China's economic structure has changed, and the strategy of industrialization in rural areas has implemented, migrant workers'wages did a great contribution to the income increase of the farmers, but Outgoing Farmer-Worker Households also face the problem of shortage of funds. So, doing research on Borrowing Behavior of Outgoing Farmer-Worker Households at present has an important theoretical significance on deepening the studies on rural financial and the transfer of surplus labor force in rural areas; has an important practical significance on solve the problem of farmers demand for funds in order to promote farmers'incomes.This paper did the studies on the basis of the questionnaires of the farmers in 40 villages of 14 provincial-level cities of Shandong Province. First of all, the paper started with a literature review on the domestic and international theories on the transfer of the surplus labor force in rural areas and the theories on empirical studies of farmers'borrowing behavior. Then, Horizontally, the characteristics of Outgoing Farmer-Worker Households'Borrowing Behavior was revealed from the aspects of the resource, use, period, scale and so on, comparing to the other rural households; Vertically, the Outgoing Farmer-Worker Households was divided into coastal Outgoing Farmer-Worker Households and mainland Outgoing Farmer-Worker Households, then revealed the existence of their differences, and made cause analysis. Finally, in order to have a better understanding on the credit needs of the farmers, the paper goes on doing a simple description and analysis on the future intention of the Outgoing Farmer-Worker Households.It was found that the Outgoing Farmer-Worker Households'Borrowing Behavior had showed a relatively high incidence of lending, mostly from the private debt market , mainly for housing purchase and the schooling of their children, low level debt , free interest but "hidden interest" widespread, relatively long period, and so on. Coastal Outgoing Farmer-Worker Households'Borrowings were more for life, higher level , more with interest, longer period than the mainland Outgoing Farmer-Worker Households. Such regional differences'existence is mainly because of that the Coastal Outgoing Farmer-Worker Households are more dependent on wages, with higher income and expenditure and stronger market awareness, compared to the Mainland Outgoing Farmer-Worker Households. Studying on Outgoing Farmer-Worker Households'future borrowing, we found that there may be many substantial needs for funding, the debt level will be promoted, the loan of 1-year period will be unable to meet the needs, path dependence exists in farmers'choice of borrowing sources, the Outgoing Farmer-Worker Households are willing to bear a higher rate of interest rate when the borrowings are for children's schooling, and the ways in repaying do not affect the households'borrowing behavior.The main innovation points are as the following : This dissertation took the Outgoing Farmer-Worker Households as the objects, and then analyzed the characteristics of Outgoing Farmer-Worker Households'Borrowing Behavior and the intentions of their future borrowing. It was found that path dependence exists in farmers'choice of borrowing sources, and the Outgoing Farmer-Worker Households are willing to bear a higher rate of interest rate when the borrowings are for children's schooling.