Research On The Support Of Rural Financial Development To Farmers' Income Growth In Henan Province

Henan province is a big agricultural province in China.Improving the income of rural residents is the primary task to solve the problems of "agriculture,rural areas and farmers",the basic goal of the implementation of the strategy to revitalize rural areas,and the core of the party and the country to achieve the goal of "common prosperity".At present,the development of rural finance in Henan province has promoted the development of rural economy and improved the income level of farmers to a certain extent,but there are still many problems in the development process of rural finance in Henan province,which cannot support the increase of farmers' income more favorably and further drive the development of rural economy.Therefore,it is of great significance to study the support of the rural financial development of Henan province to the increase of farmers' income in order to improve the rural economic level of Henan province,shorten the gap between the rich and the poor,and further realize the grand goal of socialism.At the same time,it also provides reference for rural financial institutions to make credit policies to some extent.First,the paper briefly introduces the rural financial development and farmers' income theory.Secondly,relevant data from 1997 to 2017 were collected and sorted out by Henan Provincial Bureau of Statistics,and the development process,organizational system,deposit and loan situation of rural finance in Henan province were analyzed.The current situation of farmers' income in Henan province was analyzed from the perspective of total income,structure and urban-rural gap.Then,the empirical model was established to analyze the influence of the rural financial development in Henan province to the farmers' income by using the ADF test,Johansen cointegration test,granger causality tests and VAR model methods.The conclusion is that the three indicators of Henan rural financial development scale,the rural financial development efficiency and rural fixed asset investment level have promoted the increase of farmers' income.Among them,the rural financial development scale and the rural financial development efficiency play a bigger role.However,the rural financial development in Henan province is still insufficient to support the growth of farmers' income.Finally,the author put forward some suggestions according to the Henan rural financial problems in the rural financial development scale,the efficiency of the rural financial development and rural investment in fixed assets,etc.,such as enlarging the scale of the rural financial development,improving the system of the rural financial development,improving the efficiency of the rural financial development,restraining capital outflow phenomenon,improving the efficiency of rural fixed asset investment,promoting the rural industry rapid development and improving the rural financial supervision system,etc.