Research On The Evaluation Of Rural Financial Ecological Environment In Guizhou Minority Areas

Financial development displays a strong dependence upon the operation of its economic, political, cultural and other environmental factors. From the perspective of the ecological logic, these factors could give rise to the financial ecological environment in which the regional financial system operates, functions, and develops. The concept of the financial ecology was proposed to greatly expand the financial theoretical spectrum; the research orientation will be shifted to the micro-governance and micro-improvement within the financial institution and be extended to resolve many arguable institutional issues within the economic and social transitional processes so that the importance of financial ecological environment would be improved and promoted. The concern about the financial ecological environment is emphasized primarily on its assessment. This very assessment is helpful to establish profound dialectical relations between the financial development and the financial ecological environment so that we are able to discover how the financial ecological environmental factors exert great impact on the financial development. Therefore, the evaluation and assessment of the financial ecological environment can not only promote it itself but also develop and consolidate the regional economy and further create a sustainable, rapid and healthy guidance which would exert a positive influence within its mechanism.Less developed areas, especially those ethnic places in Guizhou Province, are subject to the undeveloped conditions of the financial ecological environment. The financial development is retarded still at a comparative low level with the low efficiency in allocating the financial resources. Less developed financial sector severely hampers the national financial policy and its implementation in the ethnic areas, inhibits the formation of capitalism in the region and hinders the rural industrial structure adjustment and the orderly transfer of rural labor force as well as reduces the financial support in the production, processing, circulation and consumption of the ethnic-featured products. In turn, these severe potential problems restrain the rural economic development and social progress. In view of these, this paper, based on previous research results and the character of the dependence of financial development, proceeds as follow: based on ethnic regional assessment of rural financial environment index system, it will build the ecological environmental factors on rural finance development within rural financial mechanism; then it use the algorithm based on BP neural network evaluation model for the financial ecological environment in rural areas of Guizhou to analyze and evaluate financial environment; it will objectively fit the ethnic areas to rural financial environmental functional relationship between financial development on the basis of measurement of ethnic areas financial ecosystem of environmental factors and on the impact of financial development status; through the in-depth and accurate analysis on the reality of rural financial environment, it explores how to optimize the ethnic areas and comes up with the initiatives on the issue of the rural financial environment in Guizhou. After a theoretical and empirical analysis, the conclusions will be drawn as follow: First, the assessment of the financial ecological environment is to establish the mapping relationship between indicators of the regional financial ecological environment and the level of financial development whereby the impact exerted by these indicators of the financial environment on the regional financial development could be measured so that the profound understanding and preparations of financial ecological environment could be gained. Second, based on design principles and underdeveloped economic and social status, the evaluation index system could demonstrate the financial ecological environment of ethnic areas by the economic basis, social credit, and cultural norms with the indications of the index of 20 including the rates of the economic growth and the agriculture contribution, etc,. The level of financial development in rural areas is characterized by the finance-related rates. Taking into account the financial evaluation index system of ecological indicators of financial development between the properties and diversity, structural complexity and non-linear mapping, between the availability of statistical data and other reasons, a powerful self-learning, fault-tolerance and approximation ability of nonlinear mapping error-back propagation neural network (BP algorithm) should be established. Third, based on the sample data from Ceheng, Taijiang and other 12 counties, the model training and the factors analysis of the assessment showed that: (1)The economic base is the primary financial environmental factor in the development of rural finance of Guizhou. Under the constant conditions and circumstances, the cumulative 1% of the basic indicators of economic disturbance will generate nearly 35% of the contribution at the level of financial development in rural areas. (2)Compared with the constraints of the legal environment, the main credit, the national culture, education and other soft constraints within the social credit environment and cultural sub-level of financial activity, is more significant on the development of rural financial strength. The degree of legal environmental impact (sort last bit, only 14.95%) indicates that the rural financial system of ethnic areas should be further deepened. (3)Governmental administration of the rural financial developmental factor reaches the level of 20.07%, but the sample variance is quite small, which shows that the role of the governmental administration of the rural financial development is more stable and should not be overlooked. (4)The comprehensive score and ranking of the rural financial ecological environment show, as to the quality of the rural financial environment, that there is a distinctive regional difference between the south and the north within the province. (5)The aforesaid four conclusions reflect that the financial development of rural areas display a significant characteristic of the endogenous environmental dependence. Therefore, the underdeveloped economic and social statuses exert influence on the economic base, social credit, the culture and on the legal environment, which exhibits a higher variance of factors. The large fluctuations of the influence, to some extent, inhibit the role of the financial ecological environment in the rural financial development.Based on the above analysis and demonstrations, this paper argues that only through accelerating the rural economy, reinforcing the foundation of the rural finance environment and promoting the cultural construction of social credit, continuing to improve rural finance environment, reforming the rural financial system, giving full play to the soft power of the legal environment, with the incentives and constraints effect, as well as regulating the administrative behaviors and forming the ecological environment and promoting rural financial, could the long-term mechanism and the initiatives of the financial ecological environment in rural Guizhou Province be sought and optimized.The financial assessment of the ecological environment covering the ethnic areas in this paper was also based on the basic dual concepts—the"ethnic minorities in Guizhou"as well as the"less developed areas"in the province. The innovations of this paper lie in the following three aspects: First, the financial summary of the ecological environment was based on the evaluation of research status. It proposes to establish an objective financial environment mapping between the level of financial development and the nature of the financial evaluation of the ecological environment, and it will use the (2-1) and (2-2) types to describe that relationship. Founded on the principles of the assessment, the methodology of the evaluation and assessment of the financial environment could be provided with a comprehensive ideology whereby it could enrich the extant theory of the financial ecology. Second, based on the results of the previous researches in combination with the rural financial ecology in ethnic areas, the paper establishes the ethnic financial environment assessment index system for the first time to complete the rural financial measurement for the ecological environment, which complements the regional financial ecological environment research gaps. Especially, the design of the index system, taking into account the importance of the role of national cultural institutions, tries to accomplish a design concerning the minority proportions as well as the tourism income growth, etc,. Third, based on research results, this paper aims to target the research areas and proposes to find the solution to improve the rural financial ecological environment in the ethnic areas of Guizhou.Due to the difficulty of collecting the statistical data, the deficiency of academic researches as well as my limit in academic study whether subjective or objective, there is still room for improvement. For example, the unavailability of the data, lack of collecting the data and the usage indirect proxies to stand for the real indicators. All of my efforts need to be further improved as to the design of index system and the evaluation analysis.