The Relationship Study Between Rural Financial Development And Rural Economic Growth In China

Rural financial reform and development is the most important work of our government in recently years. Building a new type of rural financial system and perfecting the new type of rural financial system are the very important work for rural financial reform, and letting the rural finance can be better to solve the problem of "agriculture, rural areas and farmers". With the growth of rural economy and the development of rural finance, more and more scholars are interested in studying the relationship between them, and find that there is a correlation between them. Study the relationship between them has an important positive significance for the adjustment of rural industrial structure and the construction of rural financial system, and the development of rural economy.Based on the theory of development economics and the theory of financial development, the city of Zibo as an example, this paper studies the relationship between China’s rural financial development and rural economic growth. And through empirical study, the paper gets some results.Firstly, the related theory of rural finance and rural economy has carried on the simple combing. In this paper, as a case study of Zibo for the current situation of the development of rural economy and rural finance are summarizes and illustrates the mechanism between them. For the rural financial development in our country, from three aspects of the financial scale, financial structure and financial efficiency, this paper establishes the index system which contains the three aspects of rural financial development scale, structure and efficiency, and measures the level of rural financial.Secondly, we had the unit root test for the selection of the index data of recent years in this paper, and then through the analysis of the Johansen cointegration test to found a long-term cointegration relationship between the index data, and then we finished the test using granger causality. The results show that there has a long-term relationship between Zibo’s rural financial and rural economic growth. But the growth of rural economy and rural financial development are not synchronized, and the development of the rural financial seriously lagging behind the growth of the rural economy, namely the supply of rural finance is less than demand for the development of rural economy. Finally, the author gives the advice based on the above problems: the rural credit cooperatives should improve the reform of them, cultivate the competitive rural finance market, and increase the incline and regulation degree of the support agriculture policy.The innovation of this paper lies in the argument process of related indicators data, and reflects the detailed research to the questions. From the perspective of the rural financial development, the problem of rural economic growth was studied. Different from the white elephant of the study way on the financial development and economic development, based on the city county of the specific situation and clearly defining the scope of the rural and agricultural, this paper strictly distinguish between the rural and agricultural data and focuses on the agricultural part of the rural finance effected on the agricultural economic growth, and identify the mechanism of action of the rural financial development on rural economic growth. Achieving agricultural production, increasing farmers’ income and the rapid development of the rural economy have the theory reference value and practical guiding significance.