An Empirical Analysis Of Jilin Province Farmers Credit Rationing

The problem of rural finance is the key to three rural issues for the financial factor isexerting an important role in the development of economy. Nowadays the farmer credit rationphenomenon is the direct reflection of the rural financial problem. Based on credit rationingtheory, the paper tries to illuminate the farmer credit present situation of Jilin province throughquestionnaires and seek the reasons, by which the paper attempts to analyze the influence of thequality of the farmer family and personal character on the credit ration by Logistic model, and atlast put forward valuable suggestions.The questionnaire shows that the issue of the farmer credit rotation is severe.74.5%of allthe respondents expressed the problem of capital shortage existing in the process of agriculturalproduction,61.1%prefer financial institutions if they want to ask for a loan.90.04%of thefarmers with credit demands are influenced by part quantity ration, total number ration, riskration, transaction cost ration, no-loaning price ration, which displays the severity of rural creditration issue.Various reasons contribute to the farmer credit ration. From finance suppliers’ part, the firstreason is the shortage of rural credit institutions, the second is the universal non-agriculturaltrends of rural financial organizations, and the third is that the credit products can not meet theneeds of the farmers. While from finance consumers’ part, the first reason is that theconservative minds of farmers constrain the financial needs, the second is that the high cost ofloan is unbearable to farmers with low income, and the third is that farmers lack collaterals. Andfrom the financial environments part, the fragility of agricultural and the weakness of farmerseasily result in the problem of credit ration.Starting with farmers’ resources, the paper analyzes the effects of farmers’ family andcharacters on rural credit ration by T test in Logistic model. As the research shows that theolder，the higher educated，the bigger scale of land management，the more income and the lowerinterest，the lower probability farmer are limited by rural credit ration, otherwise the higherprobability affected. And all the factors are interactive and complex.Finally the paper gives the suggestions for solving the credit ration, including innovatingfinancial products and services, developing agricultural insures, perfecting financialinfrastructures, enhancing the farmers’ awareness of credit, increasing farmers’ income.