Study On The Influence Of Financial Availability On Rural Household Durable Goods Consumption

Finance is the blood of economic development.With the sustainable development of economy and society and the sustainable improvement of the financial system,the role of finance in the process of consumption has not been ignored.For the past few years,under the strong promotion of national policies,the financial service system in rural areas is increasingly sound,the construction of financial infrastructure is constantly improved,and the financial ecological environment continues to improve.The availability,convenience and effectiveness of rural financial services have been significantly improved.The No.1 Central Document in 2022 clearly proposes to promote the expansion,quality and upgrading of rural consumption.The uniqueness of "durable goods consumption" makes it account for a large part of total household consumption,which directly reflects the improvement of rural residents’ life quality and the upgrading of consumption structure.Existing literature mostly studies rural consumption from the perspectives of "financial development,farmers’ income,rural insurance",etc.,while few scholars can deeply explore rural households’ durable goods consumption from the perspective of financial availability.Based on this background,this paper will explore the impact of financial availability on rural household durable goods consumption,so as to stimulate the consumption potential of rural residents and promote the expansion,improvement and upgrading of rural consumption through the upgrading of rural durable goods.By analyzing the current situation of financial availability and household durable goods consumption in rural areas,we can find that the service scope of banks in rural areas is expanding and the financial services represented by credit service for rural residents are growing.In terms of the consumption expenditure of durable goods,the per capita consumption expenditure in rural areas showed a straight upward trend,but the increment of the per capita consumption expenditure of durable goods was small and the per capita consumption expenditure accounted for a low proportion of the per capita consumption expenditure.In terms of the consumption structure of durable goods,there is a large gap between the ownership of main durable goods of rural residents at present,and the structure is unreasonable.The types are mainly "middle and low grade".Therefore,there is still a broad consumption space for middle and high grade durable goods in rural areas.Then this paper defines the concepts of financial availability and durable goods consumption,and analyzes the mechanism of financial availability affecting rural households’ durable goods consumption.Then,based on the data of CHFS in2019,this paper firstly uses the propensity matching score method(PSM)to make an empirical study.The results show that financial availability can promote rural households’ durable goods consumption expenditure.Finally,OLS was used to empirically analyze the influence of different types of financial availability on the total expenditure and structure of rural household durable goods consumption,and analyze the difference of the influence of financial availability on household durable goods consumption under different income levels.By analyzing the empirical results,the following conclusions can be drawn:First,generally speaking,financialavailability will promote rural households’ consumption of durable goods.Second,financial availability has different degrees of influence on different kinds of durable goods.Specifically,the promotion effect on the consumption of cultural and entertainment durable goods is greater than that of furniture and household appliances than that of transportation and communication durable goods.Third,different types of financial availability have different impacts on rural households’ consumption of durable goods.The availability of consumer credit has a more significant impact on the consumption of durable goods than the availability of business credit.Fourthly,financial availability has a different impact on rural household durable goods consumption among different income levels,among which,financial availability in the low-income group has a stronger driving effect on durable goods consumption than that in the middle and high income groups.Based on the above research,the following policy suggestions are given: First,improve the construction of rural financial infrastructure and improve the availability of financial services in rural areas.Second,we will improve the types of consumer durables and implement differentiated credit policies.Third,constantly improve the financial literacy of rural residents,accelerate the change of rural household consumption concept.Fourth,we need to raise the income level of rural households and improve the social security system and consumption environment.