Research On The Impact Of Green Finance On The Consumption Of The Rural Residents In China

"The 14 th Five-Year Plan" mentions that adhering to the concept of green water and green mountains is the silver mountain of gold,promoting comprehensive green transformation of economic and social development,building a modernization in harmony with nature,and accelerating the promotion of green and low-carbon development.Green development cannot be achieved without the support of green finance,and vigorously developing green finance is the only way to promote the high-quality development of China’s economy.By the end of 2020,the balance of green loans in China was nearly 12 trillion yuan,and the stock of green bonds was813.2 billion yuan,ranking first and second in the world respectively;new products such as green funds,green trusts and green insurance are emerging,all of which indicate that green financial business is being effectively promoted.However,in the process of development,green finance will not only have an impact on industry,but also on agriculture,and what kind of changes this will bring to the income structure of rural residents is a topic worth studying.Exploring the impact of green finance on the consumption level of rural residents in China is conducive to gaining insight into the role of green finance in comprehensively promoting rural revitalization.This paper empirically analyses the impact of green finance on the consumption level of rural residents using panel data.The findings show that the development of green finance can significantly promote the consumption level of rural residents during the sample period,while government fiscal expenditure,per ca-pita gross regional product and urbanization rate also play a positive role in the consumption expenditure of rural residents.However,the boosting effect on different categories of rural residents’ consumption varies,with the most significant effect mainly on daily consumption expenditure such as food,and no significant boosting effect on other categories of consumption expenditure for the time being.The results of the sub-regional estimation show that the development of green finance can significantly contribute to the growth of consumption expenditure of rural residents in the eastern and central regions,but for the time being,it has no substantial impact on the growth of consumption expenditure of rural residents in the western region.The results of the threshold effect show that the promotion effect of green finance on rural household consumption expenditure is characterized by increasing marginal efficiency as the per ca-pita gross regional product increases.Accordingly,this paper proposes to develop green finance from four aspects:improving the development framework of green finance,innovating green financial products,raising awareness of green production and green consumption and building a professional team,so as to promote the consumption level of rural residents.