Research On The Influence Of Inclusive Finance Development On The Urban-rural Income Gap In Central China

In recent years,the economic model of the new normal has become more and more obvious.China's social economy has achieved a medium-high growth rate,and the economic development is gradually seeking for "quality" while maintaining stability,and the quality of economic development is constantly improving.However,the income gap between urban and rural areas in China still cannot be underestimated.In this context,the financial market puts forward the concept of inclusive finance,which is different from the traditional financial service model.This financial model mainly provides services for all social strata,eliminating financial exclusion,especially the vulnerable groups in rural economy.Promoting the development of inclusive finance in the social and economic market,expanding the coverage and availability of financial services,and guiding the allocation of financial resources to vulnerable areas,vulnerable groups and other fields are of great importance for improving urban and rural income distribution and achieving an overall well-off life.With the development of social and economic system,the concept of inclusive finance has been constantly enriched,the number of inclusive financial products in the market has been increasing,and the degree of inclusive finance has been expanding.Nowadays,the development of inclusive finance in China has entered a new stage.Inclusive finance has gradually risen from a frame concept of financial development to a financial development strategy at the national level.Inclusive finance has officially entered the framework of "top-level design".In this article,reference to the current research at home and abroad,combined with the conditions of China's financial development situation and the data acquisition model proposed by Sarma pratt &whitney financial development index system,selection of the financial service availability,usage,quality of service under the three dimensions of seven indicators,indicators and introduction of agricultural loans,about 2005 to 2016,eight provinces in central China the pratt & Whitney predicts the level of financial development.Theoretically,inclusive finance development can narrow the gap between urban and rural rich and poor by lowering the threshold effect,eliminating the exclusioneffect,reducing the direct mechanism of poverty effect,and promoting the indirect mechanism of economic growth.In the empirical part,the panel data model in the central region from 2008 to 2017 was constructed for regression analysis.The results show that,firstly,the development of inclusive finance has significantly reduced the income gap between urban and rural areas in China.Secondly,based on the empirical results of different regions,it can be seen that the development of inclusive finance in central China has significantly reduced the income gap between urban and rural areas.It can be seen that the inclusive finance mechanism in central China has achieved results,and financial reform should be further promoted from the direction of developing financial depth and improving financial service quality.