Empirical Study On The Impact Of Digital Financial Inclusion On The Consumption Gap Between Urban And Rural Residents

In the context of common prosperity,China has completed the historic task of poverty alleviation in recent years.People’s disposable income continues to increase and the income structure continues to improve,but the national income distribution system still needs to be improved,and there is still a large gap between urban and rural areas.The result of this situation transmitted to the end is that compared with urban residents,rural residents’ consumption power is weak.Lack of willingness to consume.In recent years,digital inclusive finance,driven by digitalization,has further expanded its reach and depth of services on the basis of traditional inclusive finance.Whether the new products and services it provides can better focus on the long-term unmet consumer demands of rural residents,so as to reduce the inherent gap between urban and rural residents in this part? It is also the focus of this paper.Based on the existing research results at home and abroad,this paper studies this problem from both theoretical and empirical aspects.First of all,this paper reviewed the consumption theory,and combined with the reality of the development of digital inclusive finance,determined that digital inclusive finance acts on the consumption gap between urban and rural residents through four ways,namely narrowing the income difference between urban and rural residents,improving transaction convenience,providing liquidity support and reducing the precautionary savings level.On this basis,the research hypothesis of this paper was proposed.In terms of data determination for empirical test,the period of time from 2011 to 2020 was adopted and calculated for each variable value in this paper.By using the dual-fixed model for baseline regression,endogeneity test and robustness test were carried out to confirm the stability and reliability of the conclusion,and four path test and heterogeneity analysis were carried out.The following conclusions were drawn:(1)Digital inclusive finance has a negative impact on the consumption gap between urban and rural residents.The results of endogeneity test by using two-stage least square method and the method of adding the explained variable with a lag of one stage,and robustness test by replacing instrumental variable and replacing the explained variable measure strongly prove the stability and reliability of this conclusion.From the perspective of the selected control variables,the widening of the income gap between urban and rural residents and the increase of the child dependency ratio have a significantly positive impact on the consumption gap between urban and rural residents,while the increase of per capita GDP has a significantly negative impact.(2)The impact of digital inclusive finance on urban and rural residents is different.It enhances the income of rural residents to a deeper extent,improves the transaction convenience of rural residents in a wider range,provides liquidity support for more rural residents,reduces their precautionary savings,and thus has a negative impact on the consumption gap between urban and rural residents.(3)There are differences in the direction,degree and significance of the influence in geographical regions and consumer goods categories: the influence in the eastern region is negative,large and significant;the influence in the central region is negative,small and insignificant;the influence in the western region is positive,large and significant;The impact on subsistence consumption gap is negative,small and insignificant;the impact on development consumption gap is negative,small and significant;the impact on enjoyment consumption gap is negative,large and significant.Based on the results of this study,the author hopes to provide reasonable and feasible policy suggestions for further reducing the consumption gap between urban and rural residents.First,we need to improve the digital financial inclusion system.Second,promote digital financial inclusion;Third,accelerate the construction of digital financial inclusion facilities;Fourth,promote industrial restructuring and upgrading.