The Impact And Mechanism Of Digital Inclusive Finance On Inclusive Growth From The Perspective Of Employment And Entrepreneurship

Since 2008,the world economy has been slowing down.Meanwhile,the contradictions between equity and efficiency and between opportunity and capital have become increasingly prominent.The growth of traditional factors,represented by capital and labor,has been difficult to drive sustainable and high-quality economic growth.How to balance fairness and efficiency at the same time and form sustainable and inclusive growth has become a hot topic in the world.With the information technology revolution and industrial upgrading in recent years,the Internet and big data continue to penetrate and integrate into the financial industry,and digital inclusive finance emerges at the historic moment.It is different from the traditional finance of "loathing the poor and loving the rich".It gives full play to the advantages of Internet linkage,broadens the boundary of financial services,and is gradually becoming one of the main ways to promote inclusive growth.Inequality of conditions and unequal opportunities are the crux of inclusive growth.Digital inclusive finance can lower the threshold of financial services,improve the credit matching rate of information enterprises,and solve the crux of inclusive growth.Most of the existing literatures affirm that digital financial inclusion can promote economic growth,but few articles have in-depth discussion on the impact of digital inclusive finance on inclusive growth,let alone systematic analysis of its role path.In this context,how to develop digital inclusive finance to promote inclusive growth is the challenge we face at present.Based on instrumental variable method,fixed effect panel econometric analysis method and Probit binary choice model,this paper mainly uses Chinese Family Panel Survey data(CFPS)in 2011-2018 and China Digital Inclusive Financial Index of Peking University,several data from the National Bureau of Statistics,the China Internet Network Information Center(CNNIC)and the official website of the People’s Bank of China,from the perspective of employment and entrepreneurship to explore the impact and mechanism of digital financial on inclusive growth.The research focuses on the following questions:(1)Does digital inclusive finance promote inclusive growth?(2)What is the mechanism of digital inclusive finance on inclusive growth?(3)Is there heterogeneity in the impact of digital inclusive finance on employment and entrepreneurship of different types of individuals?The conclusions of this research are as follows:(1)Digital inclusive finance has a positive effect on inclusive growth.Digital inclusive finance has a significant positive impact on family income,which is manifested as the effect of income growth,and the impact on rural family income growth is greater than that on urban family income growth,which is manifested as income distribution effect.(2)Digital inclusive finance promotes inclusive growth through both employment and entrepreneurship.On the one hand,digital inclusive finance helps disadvantaged groups find jobs by improving the credit matching rate of information enterprises,so it promotes inclusive growth by equalizing employment opportunities and achieving a trickle-down effect.On the other hand,digital inclusive finance promotes inclusive growth by lowering the threshold of financing and equalizing the conditions for entrepreneurship,which realizes the flood effect.(3)In terms of employment channels,capital and employment types are heterogeneous.Digital inclusive finance can help the traditional vulnerable groups(residents with low human capital and low material capital levels)to improve employment.Digital inclusive finance has a more significant positive impact on the employment of the low human capital group than the high human capital group,and it also has a greater impact on the employment of the low physical capital group.In terms of the type and nature of employment,digital inclusive finance has helped the most in non-farm employment,and most of these non-farm employment people have gone into the private sector.(4)Only for entrepreneurial channels,there is heterogeneity in regional and industrial structure.From the perspective of different regions,whether nationwide or in the eastern,central and western regions,digital inclusive finance can significantly improve the level of entrepreneurship.From the perspective of industrial structure heterogeneity,the impact degree of digital inclusive finance on entrepreneurship is different.In the central region,the influence of the provinces with lower tertiary industry is more significant.In the eastern and western regions,the impact is more obvious in the provinces with a higher percentage of tertiary industry.(5)Strengthen the role of digital inclusive finance in supporting employment and entrepreneurship.It is necessary to further improve the digital inclusive finance system,further enhance the integration of resources between regions,promote the deep integration of digital technology and financial business and strengthen its positive impact on employment and entrepreneurship level,based on the actual situation of each regions.There are three main academic contributions to this research.Firstly,it enriches the existing literature on the impact of digital inclusive finance on inclusive growth.Because domestic and foreign literatures on this topic are few and controversial.This research examines its positive effects from the dimensions of employment and entrepreneurship respectively.Secondly,this research adds an employment dimension to the digital financial inclusion mechanism,promotes inclusive growth,and provides new ideas for it.At present,the existing literature on digital inclusive finance mainly focuses on the perspectives of consumption,rural finance,entrepreneurship and so on,but does not involve the perspective of employment.Finally,through the heterogeneity analysis,this research discusses the impact of digital inclusive finance on employment and entrepreneurship in different regions and groups,which is helpful for the government to formulate relevant policies to further strengthen the poverty reduction effect generated by digital inclusive finance for specific groups and promote inclusive growth.