Impact Of Social Networks On Rural Family Commercial Insurance Participation

Regarding commercial insurance participation has been a hot issue in academia.Relevant scholars mainly explain this phenomenon from the aspects of family wealth,risk appetite,and background risk.This article starts from a sociological perspective and conducts an empirical study on the relationship between rural family social networks and commercial insurance participation based on data from the 2017 China Family Finance Survey.This article focuses on two issues:(1)the possible mechanism of social networks affecting farmers' participation in commercial insurance;and(2)the final effect of social networks on rural households in terms of insurance participation possibilities and depth of participation.This article is divided into six chapters.The first chapter is an introduction,which briefly introduces the research background,research purpose,and significance of this article,and explains the research methods and ideas of this article,as well as possible innovations and deficiencies in this article.The second chapter is the literature review,which summarizes and reviews the existing literature in three aspects.The third chapter introduces the related concepts and theoretical foundations,clarifies the characteristics of social networks and related theoretical knowledge,and lays the theoretical foundation for the subsequent analysis of social network influence paths.The fourth chapter is the analysis of the mechanism of action,and discusses the transmission mechanisms of social networks on the possibility and depth of rural household commercial insurance participation.Chapter 5 is an empirical test.It explains data sources,variable descriptions,variable correlations,and model settings.It conducts benchmark analysis of empirical results,and analyzes heterogeneity of household classification by income,education,and region.The endogenous problems due to missing variables and reverse causality are tested and endogenous errors are corrected.Finally,a robustness test is performed.The sixth chapter summarizesthe research conclusions and puts forward related suggestions.The main findings of this paper are:(1)Social networks have an impact on rural households 'commercial insurance participation through risk attitude mechanisms,information acquisition mechanisms,and cognitive change mechanisms.The risk sharing mechanism of social networks negatively affects rural households' participation in commercial insurance and information acquisition.Mechanism and cognitive change mechanism are promoting rural participation in commercial insurance.(2)Social networks have a role of risk sharing,but social networks cannot fully share the risks of rural families.(3)Social networks can significantly promote the possibility and depth of rural households' participation in commercial insurance.After controlling for endogenousness,the promotion effect is still significant.(4)In terms of control variables,this article puts forward some views that are different from other scholars.For rural households,among household characteristics,household per capita income and per capita assets have the greatest impact on rural households' participation in commercial insurance.Among the householder characteristics,households with ordinary health status are more likely to be healthy than households with healthy and unhealthy households.Possibly participate in commercial insurance;compared with household headed households with risk aversion and aggressive attitude,risk-neutral household headed households are more likely to participate in commercial insurance,which is different from previous scholars' opinions.(5)The promotion effect of social networks on the possibility of rural households' commercial insurance participation is most obvious in the high-income and highly-educated families in the eastern region.The role of social networks in promoting the depth of rural households' commercial insurance participation is most evident in the low-income high-education families in the eastern region.The innovations in this paper are summarized as follows:(1)In the topic selection,this paper combines the characteristics of rural society in China and existing indicators,and focuses on the relationship between rural family social networks and commercial insurance participation.In the mechanism of action,the selection of empirical variables All aspects highlight the characteristics of rural areas,and make up for the lack of existing literature.(2)In the theoretical analysis,the substantive impact of relationship strength and social interaction on decision-making in social networks is distinguished,that is,strong relationship networks mainly rely on contextual interaction to play a role.What is changed is the cognitive variables that affect insurance decisions.Endogenous interactions play a role,changing the information variables that influence insurance decisions.(3)The latest household financial survey data is used in the data to make the research results more up-to-date.(4)The article empirically overturns the existing literature on the views of physical health status and risk attitudes on commercial insurance participation,and puts forward its own views...