Inclusive Finance,Credit Constraints And Farmers’ Income

In recent years,with the deepening of China’s urbanization and the implementation of the Rural Revitalization Strategy,the economic and social development of rural areas and the income level of farmers have been greatly improved,and the development of Inclusive Finance has been steadily promoted.This paper selects 2586 annual urban samples from 297 prefecture level cities in China from 2012 to 2020 to form panel data,and empirically analyzes the impact of Inclusive Financial Development on Farmers’ income with a two-way fixed effect model,and conducts a heterogeneity test to verify the difference in the impact of inclusive financial development level on Farmers’ income in different regions,and then tests the intermediary effect of credit constraints on the relationship between inclusive financial development and farmers’ income increase,Finally,the adjustment effect test is used to explore the role of education level in the process of Inclusive Finance promoting farmers’ income.The research finds that(1)there is a significant positive correlation between Inclusive Finance and farmers’ income,that is,the improvement of the development level of Inclusive Finance can promote the growth of farmers’ income.(2)There is regional heterogeneity in the impact of Inclusive Finance on Farmers’ income,and the promotion degree of the development of Inclusive Finance on Farmers’ income is different in different regions.The Inclusive Finance in the eastern,central and northeast regions is positively correlated with the income of farmers,and the income increasing effect is obvious,while the income increasing effect of Inclusive Finance in the western region is not significant.(3)There is an intermediary effect in the influence relationship between the development of rural Inclusive Finance and the improvement of farmers’ income.Credit constraint plays an intermediary role,that is,the improvement of the development level of Inclusive Finance can ease the credit constraint of farmers,increase the loan convenience of farmers’ credit funds,and improve the income level of farmers.(4)The level of education will play a role in the process of Inclusive Finance promoting the growth of farmers’ income,that is,the promotion of Inclusive Finance to farmers’ income is more obvious in areas with higher education level.Therefore,a systematic analysis and research on inclusive finance,credit constraints and farmers’ income will help clarify the functional relationship among the three,provide some reference for establishing and improving the rural inclusive financial system,help find more effective ways to increase farmers’ income,more actively play the role of Inclusive Finance in promoting high-quality economic and social development,and drive the sustained growth of farmers’ income in rural areas.