The Risk Control Of Rural Financial Institutions In The United States

The United States is the most developed country of financial system in rural areas,has formed three financial situations of organizational forms: policy finance,cooperative finance and commercial finance, well supported the economic developmentof rural areas. Rural financial institutions in the United States are more sound riskcontrol mechanism, the risk management process more scientific, for the United Statesthe healthy development of rural financial institutions has created good conditions.Therefore, the study of rural financial system and U.S. financial institutions in ruralareas of risk control for china's rural financial system and the current improvement anddevelopment of rural areas in china to develop new risk management of financialinstitutions has an important reference.Rural financial system inUnited States is composed of three organizational formscommercial financial institutions, policy co-operation of financial institutions andfinancial institutions. Financial institutions at risk from common and the special natureof the rural economy of these two points of view, combing through the literature andreference materials, analyzing the major risks of rural financial institutions in the UnitedStates at the theoretical level. Simultaneous analysis the risks form the internal andexternal reasons, to seek suitable risk identification and measurement methods for ruralfinancial institutions. Based on a comprehensive analysis of the development of ruralfinancial institutions and risk status in the United States, we construct a risk evaluationindex system of rural financial institutions in the United States. The methods to get theindex weight are AHP method and entropy method. By empirical analysis, the FederalLand Bank of the United States selected as a sample bank, the sample obtained by theindex system of each bank's risk-weighted value. The use of financial time series usingfinancial time series ARIMA model in sample analysis of the financial risks banks,banks face the risk of the sample to quantify the risk model through the establishment ofreal data and model fitting to compare the data to test models of risk prediction capacity.In the model prediction based on the rural financial institutions in the United States riskcontrol mechanisms and risk management and experience, and thus the development ofrural financial institutions and risk control management model to provide many useful experiences.To improve rural small and medium sized rural financial institutions tostrengthen risk management of financial supervision, and promote rural small andmedium sized financial institutions and development of the smooth progress of reformput forward countermeasures and policy recommendations.