The Empirical Study Of Rural Finance Support Agriculture Economic Development In Henan Province

The accelerating process of agricultural modernization has made the playing of financial functions more and more important in the process of agricultural economic development.People have begun to pay attention to the development of rural finance.The development of China rural finance has been relatively late,and the rural financial system still has deficiencies.Researching the impact of rural finance on the development of agricultural economy has a good guiding function for improving the rural financial system and can better serve the development of the agricultural economy.In view of the research on rural financial support for the development of agricultural economy,most scholars in China have studied the role of rural finance in the process of agricultural economic development from a macro perspective,and relatively lack local financial support for agricultural economic development.In fact,due to the urban-rural dual economy and the unbalanced development of the regional economy,the analysis of the impact of rural finance on the development of agricultural economy at the national level cannot accurately explain the actual situation in the region.The practical significance of the study is not significant.As a agricultural economic province where the agricultural economic output value is in the forefront of the country all the year round,taking Henan Province as an example to study rural financial support agriculture has strong persuasion and practical significance.This paper takes Henan Province's actual situation of rural finance and agricultural economic development in recent years as the starting point of the study,and focuses on analyzing the rural financial scale,rural financial structure,rural financial efficiency,and the development of agricultural economy in Henan Province,and on this basis,further research and analysis The Feasibility and Necessity of Henan Province to Support Agricultural Economic Development in Rural Finance.Based on the actual data of rural finance and agricultural economic development in Henan Province,a VAR model was constructed to empirically analyze the impact of rural financial support for agricultural economic development in Henan Province.The study finds that the rural financial scale,rural financial structure,and rural financial efficiency in Henan Province all have the same long-term and stable equilibrium relationship.The improvement of rural financial-related indicators will promote the development of the agricultural economy.However,when conducting the cascade causality test,it was found that the rural financial structure and rural financial efficiency are the cause of agricultural economic development,and the rural financial scale is not a cause of agricultural economic development,indicating that the existing rural financial scale in Henan Province is in the development of agricultural economy.The role played in the process is limited.Through analysis,it is found that this may be due to the fact that the overall level of rural financial development in Henan Province is relatively low,and the amount of agricultural loans is not enough to meet the needs of agricultural economic development.