The Study Of The Rural Mutual Financial Cooperative In Perspective Of Social Capital

How to provide effective financial services for low-income groups and micro-enterprises are key issues of the current economic and social development in rural areas, which must be resolved. Rural mutual financial cooperative provided a new way of thinking to solve this problem. Rural mutual financial cooperative set by the members of investment funds, for the production and life of the required funds within the cooperative members (farmers) to provide a certain degree of financial support, the operation of their organization at the same time bound to rely on informal and formal system of binding rules of the dual operation, both with private financial transaction information symmetry, and low transaction costs and flexibility advantages, but also with the modern formal financial organizations and the normative. So far, Rural mutual financial cooperative has played a very good role in develop new markets, the promotion of expanded reproduction, adjust the agricultural structure , increase income and achieve economies of scale.From the development reality of rural mutual financial cooperative, this study objectively depicts and analyzes the cooperative's characteristics, forms and operating mechanism. Then , combination of field research, the study theoretically and empirically analyzes the causes, effectiveness of social capital. Finally, based on the above-mentioned analysis , this study put forward some countermeasures in order to promoting the rural mutual financial cooperative .The main conclusions of this study are as follows:(1) Rural mutual financial cooperative in the community set up on the basis of the object must take part in the economic domain within the credit environment in its operation are between private parties based on non-system of trust, community norms are rural capital punishment mechanism the operation of self-help groups basic system. Rural capital mutual aid organizations in various forms, different forms of funding sources also varied, but the way the funds are relatively homogeneous: The mutual assistance loan (or loans) and mutual aid-based security.(2) Rural mutual financial cooperative on the emergence and development of an objective increase of China's rural financial institutions, the type and quantity of rural financial markets, the impact must exist. With other rural financial institutions, at institutional arrangements on innovation, in the run up there is an obvious advantage, but at the same development constraints exist.(3) Social capital through access to more and better resources, reduce transaction costs, and enhance the overall learning ability organize, optimize the allocation of resources, such as the role of implementation and completion of its capital mutual aid organizations in rural areas a positive impact on performance. At the same time there is a duality of social capital, which funds self-help groups in rural areas give a huge income, but also possible adverse consequences. In real life, should be prudent and reasonable use of social capital, to maximize its positive effects, as far as possible to avoid its negative effects. (4) Through field research,we found that "competitive industries, social capital, preferential policies"are important factors in the development of rural mutual financial cooperative. Therefore, the implementation of rural mutual financial cooperative must foster sustainable development and transformation of social capital, the development of competitive industries and to increase policy support combination.