The Study On The Influence Of Family Endowment On Peasants’ Borrowing Behavior

Loaning is an important economic behavior of peasants, and an important part of the rural financial market as well. When facing expanding reproduction or smooth consumption, peasants tend to invest. peasants need to borrow if their own funds can not meet the need. In the borrowing process, peasants will choose different lending way according to their own situation, such as banks, credit unions of formal financial institutions, or non formal financial loans, such as folk lending organizations, relatives, and friends. whether peasants can get the borrowing and get from which way or how much they can get all depend on families all kinds of information and resources, such as economic, human resources, social network, natural factors, these can be shared by the members of the family which called family endowment. Therefore, it can be said that family endowment has important effect on peasants borrowing.and The article about influence factors of family endowment on peasants’ borrowing behavior is significant to recognize, also can provide possible reference for rural finance market development.This study is based on the data of 2012 China Labor-force dynamic survey (CLDS), which is got from national tracking survey, which was conducted by Sun Yat sen University Social Science Research Center every two years. The survey regard village/Neighborhood committee, family and individual labor as target,and aimed at studying the change and mutual influence among China urban and rural social structure, family, labor of individual. Owing to the peasants borrowing, we used rural household’s data, and through multiple regression models to explore the influence of family endowment for possibility, ways and amount of peasants borrowing.The results show that:First, in general, the better family endowment the peasants have, the more easily borrow they can. Second, different factor of the family endowment has different influence on borrowing ways. Specifically, the richer economic capital, social capital and natural capital the peasants have, they can get formal financial institutions lending more easily; richer human capital the peasants have, they beneficial to the rural informal finance, richer economic capital the peasants have, the less informal financial loans they get. Third, the economic capital plays a decisive role in peasants borrowing. Fourth, youth and midlife are beneficial in the whole process of borrowing. Fifth, "large" family is more easy to get loans than "small" family,especially for informal finance. Sixth,the higher education of decision maker with more cautious borrowing decisions, and easier to obtain more borrowing. In addition, affected by the national financial policy, the West region peasants are more likely to get loans than that in East and central region. Therefore, in the process of urbanization, government need to expand the formal financial institutions in the layout of rural, and reduce peasants credit access threshold; linked by network, build "multifamily guarantee" system; increase the intensity of job security, and create a good rural labor transfer environment to improve the peasants’ income, and fundamentally solve the demand of peasants’lack of money.