The Impact Of Digital Inclusive Finance On Rural Residents’ Consumer Expenditure

Consumption is the source of economic growth,and its contribution to economic development cannot be overestimated.Having suffered from the COVID-19 pandemic,rural consumption still shows strong resilience and has great potential.At the same time,digital inclusive finance,based on digital technologies,has begun to develop,providing financial services and products to a wider range of people,expanding the service area to rural areas and remote areas,easing financial rejection and offering new ideas to promote rural consumption.So,It is of great value to break the dual economic structure between urban and rural areas,promote people’s welfare and help revitalize the countryside.Based on a review of a large body of literature from both domestic and international,this paper strives to study it from both theoretical and empirical.Firstly,define the two concepts.secondly,review relevant literature.then,combine with charts to analyze the present situation of digital inclusive finance and rural consumption;after introduce the related theories.On this basis,explain how digital inclusive finance affects rural consumption expenditure and put forward relevant research hypotheses;finally combine with the Index of Peking University and sample data of 282 prefectural cities in China from 2011 to 2020 and conduct empirical analysis by constructing fixed effect model.We find that:first.on the whole,it can effectively increase the rural residents’ consumer spending.In the secondary dimension,the coverage breadth has a positive effect on rural residents’ consumption expenditure,while there may be a negative effect of depth of use;second,There are regional differences and city size differences in its influence,From the perspective of regional heterogeneity,the impact varies across regions,with more pronounced increases in rural consumer spending in eastern and central regions and somewhat less pronounced in western regions.From the perspective of different city size,it has a remarkable promoting effect on the consumption expenditure of rural residents in extra-large cities and small and medium-sized cities.among which the regression coefficient of extra-large cities is higher than that of small and medium-sized cities.There may be a negative effect on megacities;Third,rural residents’ income and industrial structure upgrading are two important ways.On this basis,this paper puts forward six proposals.reinforce digital infrastructure construction.enlarge financial services and products.heighten rural financial literacy.elevate rural income.promote industrial structure optimization and modernization.complete the regulation of digital inclusive finance.