The Relationship Study Between Rural Financial Development And Rural Economic Growth

The central party committee pay high attention to rural finance reforms and development,which play an effective role in solving Three Rural Issues.While building a new socialist countryside,some experts and scholars are studying the relationship between rural economic development and rural finance development.Determination of this interaction mechanism has significant meaning in finding a more efficient way and countermeasure for rural financial support on rural economic development.In this paper,based on the theory of financial development and economic development theory,taking Tai'an as an example,analyzes in detail the relationship between rural economic development and rural finance development and draws some conclusions.Firstly,based on the theory of financial development and economic development theory,this paper expounds an overview of rural economic development and rural finance development,and analyzes the latter's role in the former.Secondly,after building a mechanism logical model,this paper analyzes some Data of Tai'an by unit root testing,co-integration testing and granger causality testing.In the above analysis of ideas and steps,this article by the large number of theoretical and empirical analysis,draw the following conclusions:the rural economic development does not synchronize with the rural finance development,the rural finance development lags behind the rural economic development.Finally,this article puts forward the corresponding policy recommendations:promote the development of financial institutions,foster rural finance market,establish multilevel and diverse finance service system,strengthen the market discipline and supervision of rural finance.The innovations of this paper are research object'selection and analysis.We analyze a city in detail,differentiate between the data of rural and agricultural strictly.It has some reference value and practical value in determining the relationship between rural economic development and rural finance development.