The Influence Of Shangxi Farmers' Financing Channels Selection On Their Family Welfare

With the rapid development of agricultural modernization and industrialization,the cost of agricultural production is also increasing.It is becoming becoming increasingly difficult for farmers' own funds to meet the needs of agricultural production,and farmers' income from agricultural production is becoming less and less,which directly affects their production and consumption capacity.At the same time,it also seriously hinders the development of rural economy and the improvement of household welfare level.Therefore,at present farmers in our country are facing the severe problem of production fund shortage.For this reason,farmers often seek the support of external funds.The external financing channels that farmers can choose include: formal and informal financing channels.When not available from formal financing channels In the production of the required financial resources,farmers are more willing to obtain funds through informal financing channels,such as access to informal financing channels such as relatives and friends using an acquaintance-friendly network.Informal financing channels,compared to formal financial institutions,are simpler and rarely requirecollateral.Under this background,this paper tries to solve the following two problems: What is the difference in the impact of farmers' choice of formal and informal financing channels on their family welfare? In addition,for farmers with different levels of welfare,how do financing channels affect their level of household welfare?To solve the above two problems,this paper firstly defines the related concepts like farmers' financing channels and welfare according to the actual investigation,and carefully combs and introduces the theories of the related fields studied by predecessors.The influence of financing channel selection on household welfare is discussed as the theoretical basis of follow-up research.Secondly,this paper describes and analyzes the current situation of farmers' financing and family welfare.Then,based on the micro-survey data of farmers,this paper empirically studies the impact of farmers' choice of financing channels on household welfare by using the matching of tendency scores and the quantile regression model,whose result was examined and analyzed.Finally,the conclusion is summarized according to the results of empirical analysis,and the corresponding policy recommendations are put forward accordingly.The main conclusions of the study are: age,education level,frequent Internet access,cultivated land area,fixed assets,Engel coefficient,non-farm income ratio,the presence ofparty members or cadres in the family have a significant impact on farmers' choice of formal financing channels.The age of the head of household,the level of education,the area of cultivated land,the fixed assets,Engel coefficient,the payment of gift expenditure,the party members or cadres in the family have a significant impact on the farmers' choice of informal financing channels;Participation in formal financing channels can significantly improve per capita annual income,but significantly inhibit per capita consumption expenditure.The participation in the informal financing channel has a significant effect on the per capita annual income of the farmers and the per capita consumption expenditure;No matter which channel farmers choose,in general,the income of farmers is still increasing.The effects of the two financing channels on farmers with different welfare levels are also different: the choice of formal financing channels has a significant effect on increasing the income of farmers with low and middle income,middle income and high income level.but has a significant inhibitory effect on different consumption levels of farmers.However,informal financing channels have a significant effect on the group income of low-income,middle-lower-income and middle-income farmers,and have a significant effect on stimulating consumption for middle-lowe and middle level of consumption of farmers.