Research On China 's Rural Financial Exclusion Under Dual Economic Structure

The concept of financial exclusion can be understood in a broad or narrow way. In the narrow way, financial exclusion means absoluteor complete financial exclusion, which means some groups are excluded from the financial system completely, isolated from financial products and services. In the broad way, financial exclusion means relative or partial financial exclusion, which means although some groupsare not completely excluded from the financial system, they cannot enjoy certain financial products and services, or face difficulties in the process of enjoying certain financial products and service compared to other groups. Rural financial exclusion can also be understood as a state rural areas face difficulties in access to financial products and servicescompared to urban areas.From the perspective of the causes of financial exclusion, financial exclusion can be divided into voluntary and involuntary exclusion, involuntary exclusionthen can be divided into selective exclusion and invisible exclusion. Voluntary exclusion meansone do not want to understand and make use of all kinds of products and services to financial institutions due to a lack of knowledge and credit sense, or one voluntarily renounce the right to use and access to the financial products and services, because of the opinion that the financial institutions does not provide services to their own,since he or the people around him have been denied by financial institutions.Selective exclusion means financial institutions will choose discriminatory policy to provide financial products and services selectively to different group on purpose. Invisible exclusion means that the group can’t enjoy the relevant financial products and services, even though the financial institutions do not divide them into the exclusion zone definitely and this group do not be excluded apparently. This article plans to analyze the aspects of supply and demand and get the model of financial exclusion to analyze every aspect of cause and influence of financial exclusion.The extent of rural financial exclusion varies constantly with the conversion of dual economy structure. In the process of traditional unitary economy converting to dual economy, the premise of conversion is the surplus and accumulation of capital under the development of the productive force, and the rural financial exclusion accompanies the division between urban and rural. In the early stage of dual economy structure, agriculture supports industry and the rural financial resources flow into urban continuously, which gives rise to the aggravation of rural financial exclusion, but the informal finance plays a pivotal role in relieving the financial exclusion. The later period of dual economy structure is the process of industry nurturing agriculture, the financial resources begin to flow into the country,the rural financial exclusion can be relieved gradually. After finishing the conversion of modern unitary, the financial markets of urban and rural merge together completely, and the rural financial exclusion disappears ultimately.Before reform and opening up, our dual economy structure is sluggish, and the rural financial exclusion exists all the time, the traditional economy-developing mode impels the aggravation of rural financial exclusion. After reform and opening up, our dual economy structure goes through the period of fluctuation,every aspect of rural financial exclusion accompanies the change of dual economy structure. According to the empirical test,the educational degree of rural residents、the rural financial development、rural per saving deposit and so can reflect the index of rural financial exclusion, which have positive correlation in co-integration test with dual contrast coefficient. Also, the dual contrast coefficient is the Granger cause of the educational degree of rural residents、the rural financial development and rural per saving deposit. The empirical test verifies the dual economy structure can intensify the rural financial exclusion.In order to resolve the problem of rural financial exclusion under dual economy structure, we need to mitigate the rural financial exclusion and weaken the influence of dual economy structure. On the one hand, we must encourage the rural financial resources to flow into country, increase the supporting intensity of rural financial policy, cultivate and coordinate the development of rural informal finance, and provide the consultation and education service for rural finance. On the other hand, we need to eliminate the barrier of dual economy-policy, and make all aspects of measures to promote the dual economy converting to unitary economy structure.