The Research On The Impact Of Targeted Required-Reserve-Ratio Cuts Policy On The Development Of The "Agriculture,Rural Areas And Farmers" And Small And Micro Businesses

The targeted required-reserve-ratio cuts policy is a new unconventional monetary policy in which the central bank of China,in order to allow credit funds to flow into specific areas,reduce the statutory deposit reserve ratio of eligible financial institutions,and increase its credit capacity under the new normal economic situation.Its goal is to promote the economic development of the target areas,namely,the "agriculture,rural areas and farmers"and small and micro businesses,so as to achieve the role of regulating the economic structure.Since its implementation in 2014,the policy of targeted RRR cuts has been used many times and is very representative in monetary policy.Each orientation reduction policy is independent and related to each other.Their target areas are the "agriculture,rural areas and farmers" and small and micro businesses.But is the implementation of these policies really effective?Does it promote the development of the "agriculture,rural areas and farmers" and small and micro businesses?Does it increase the funds invested in the"agriculture,rural areas and farmers" and small and micro businesses?These issues are still to be considered,and this is the problem that this article wants to analyze and explain.This paper sorts out the policy of targeted RRR reduction,analyzes the working principle of the targeted RRR-cutting policy,and explains how the implementation of the targeted RRR-cutting policy affects the "agriculture,rural areas and farmers" and small and micro businesses from the impact of the currency multiplier and monetary policy on the loan behavior of commercial banks.The impact of the enterprise sector,and the relevant quarterly data from 2013 to the first half of 2018,using the double difference model,empirical research on the loans of the three farmers and small and micro enterprises before and after the implementation of the targeted RRR cut policy.The research results show that the targeted RRR cut policy will theoretically guide the release of funds to the fields of the"agriculture,rural areas and farmers" and small and micro businesses,but the empirical results show that the liquidity released through targeted RRR does not flow precisely to the"agriculture,rural areas and farmers" and small and micro businesses.In the field,the effect of the targeted RRR cut policy is not significant and deviates from expectations.Finally,in view of the research results,in order to make the targeted RRR reduction policy better serve the development of the "agriculture,rural areas and farmers" and small and micro businesses,it puts forward policy recommendations for perfecting the supporting policy system,changing the thinking of directional regulation and control,and strengthening policy publicity,education and supervision.