Internet Finance,Financial Inclusion And Household Entrepreneurship Decision-Making

The level of entrepreneurial intention and innovation activities plays an important role in the economic growth of a country.However,in developing countries,economic development,geographical constraints,inadequate credit support and other factors has led to unbalanced regional financial development and serious financial exclusion.This phenomenon has become the biggest obstacle for potential entrepreneurs.Meanwhile,with the deepening of the Internet revolution,the integration of information & communication technology and financial industry has become an important opportunity and channel for financial development and innovation.Under the background of Internet finance,new financial services bring about changes in entrepreneurial environment and cost,expand business areas and service groups that traditional financial institutions can not cover,alleviate the financial exclusion problems faced in the early stage of entrepreneurship,and thus improve the inclusiveness of the financial system and family entrepreneurship willingness.This paper aims to analyze the impact of China's financial inclusive development level on household entrepreneurship decision-making under the trend of Internet finance.In the part of theoretical analysis,through defining the connotation of financial inclusion and entrepreneurship behavior,this paper adopts occupational choice model to explore the effects of financial inclusion on family entrepreneurial intention under the trend of Internet finance.In the empirical analysis part,based on the financial inclusion index system constructed in this paper,using the data of China Family Panel Studies(CFPS)in 2016 and the Generalized Hierarchical Linear Model,this paper explores the effects and acting mechanism of financial inclusion development on household entrepreneurial intention.After that,it further investigates the changes of family entrepreneurial willingness in urban and rural families,in families with different income levels and different education backgrounds.The results show that:(1)The development of financial inclusive under Internet finance has significantly enhanced the willingness of family entrepreneurship.(2)The inclusive development of finance improves the probability of family entrepreneurship decision-making by alleviating Financial Exclusion and improving the financing preference of formal financial institutions.(3)The differences between urban and rural households,income and education will significantly affect the promotion effect of financial inclusion on household entrepreneurial intention.In the end,several political suggestions are provided.