The Empirical Research Of The Impact Of The Rural Credit Cooperatives' Micro-credit In Gansu Province On Peasants' Income

The micro-credit business was introduced in China in the 90s of last century. As a new type of credit products for low-income groups in rural areas, it has been an essential model and system of finance which can promote economic development in low-income areas and improve the income of low-income groups. It was officially launched by Gansu Rural Credit Cooperatives in 2002. In the last decade to promote the process of the business, the size distribution and the coverage have been expanded a lot. To a certain extent, peasant household microfinance has met the financial needs of peasants in some part of Gansu province. But there are many problems at the same time. The problem of "loan difficult" for peasants especially for the low-income households still exists. Based on the field research data, by study of the peasant household microfinance provided by Gansu Rural Credit Cooperatives, some conclusions are drawn about the impact of peasant household microfinance to household income and some way to improve its promotion efficiency are proposed.The paper consists of five parts. The first part outlines the related theories of micro-credit and briefly generalizes the domestic and foreign scholars on the impact of micro-credit point of view to household income. The second part describes the practice of the peasant household microfinance provided by Gansu Rural Credit Cooperatives. The third part builds the model. In addition, it illustrates how to select the variables and the data sources. The forth part uses the method of positive analysis to improve the impact of peasant household microfinance to household income based on the field research data. The fifth part draws the conclusions and brings forward some advice of its promotion efficiency.