Rural Financial Development And Poverty Alleviation

Since the reform and opening up,China's economic has achieved high-speed growth,improve people's living standard,poor alleviation business also have made outstanding achievements.The financial efficiency and development scale have been improved significantly.The existing studies have studied the relationship between financial development and economic growth,the relationship between economic growth and poverty alleviation,generally think that financial development is conducive to poverty.But under the background of special fiscal system reform in our country,the financial development contains both in the process of marketization reform,also includes the policy development.So can the rural financial development under the government intervention help alleviating the poor? This is the research content of this article.Firstly,this paper reviews the domestic and foreign literature about the relationship between financial development and poverty alleviation,on this basis,reviews the theory of financial development,and analyzed how the financial development has effect on the poor.Financial development's direct impact on poverty is mainly manifested on its credit and savings services,credit to the poor ability to invest in new technology,new machines,health or education,all of these helps to increase the productivity of the poor;Savings can accumulate wealth to help the poor,smooth their consumption,resist the income risk of instability,reduce the effect of poverty.Its indirect influence mainly reflects on the economic growth channel,a large number of studies have shown that the financial development helps to promote economic growth.Income distribution also has influence on poverty alleviation.Then,in this paper,using the relevant data of China's rural finance and rural poverty describes China's rural financial development status quo and poverty,and descriptive analyses the rural poverty reduction effect of financial development.On the analysis of the relationship between rural financial development and poverty alleviation,this paper use 1998-2013 provincial panel data to study the relationship between rural financial development under government intervention and poverty alleviation,use the cross terms of government intervention and rural financial development in the empirical model,to review the relationship between rural financial development under the action of government intervention and poverty alleviation.The empirical results show that the rural financial development scale of poverty slow always has a promoting effect;the rural financial development efficiency against poverty,and the efficiency of government intervention in the rural financial development is conducive to poverty.Finally,on the basis of the empirical analysis results,to better promote the rural financial development in our country's poverty alleviation,we put forward several policy Suggestions.