The Impact Of Digital Inclusive Finance Development On The Consumption Structure Of Rural Residents

The Central Economic Work Conference in December 2022 emphasized the need to prioritize the restoration and expansion of consumption,strengthen consumption capacity,improve consumption conditions,innovate consumption scenarios,and fully unleash the potential of consumption.With the development of technology,China has already taken the lead in developing digital economy and digital finance,and is leading the world in implementing the national strategy of building inclusive finance.However,the level of digital development in rural areas and financial literacy among rural residents is not high.There are also problems such as an increase in residents’ savings willingness,a decrease in consumption expenditure,and the need to improve consumption capacity and consumption willingness.In the new development pattern of "dual circulation" at home and abroad,meeting the growing needs of farmers for a better life is of great practical significance for upgrading the consumption structure in rural areas.As the main artery of domestic and international dual circulation development and the driving force behind high-quality economic development,the Yangtze River Economic Belt plays an irreplaceable role in expanding domestic demand,promoting regional economic stable growth,and achieving China’s economic transformation and upgrading.In view of this,this paper uses the data of the Yangtze River Economic Belt from2011 to 2021 to empirically analyze the impact of digital financial inclusion development on the consumption structure of rural residents.Firstly,this paper sorts out the relevant literature on digital inclusive finance and residents’ consumption structure and the relationship between them,clearly defines the concepts of digital inclusive finance and rural residents’ consumption structure,takes the theory of precautionary savings,liquidity constraint theory,Maslow’s hierarchy of needs,etc.as the theoretical basis,and analyzes the mechanism of digital inclusive finance affecting the consumption structure of residents from the different financial service models of digital inclusive finance.In the second place,the current situation of digital inclusive finance and rural residents’ consumption structure in the Yangtze River Economic Belt is analyzed,and conclusions such as the rapid development trend of digital inclusive finance in the Yangtze River Economic Belt and the decline of rural residents’ Engel coefficient year by year are drawn.Finally,by constructing a two-way fixed-effect model of the impact of digital inclusive financial development on the consumption structure of rural residents in the Yangtze River Economic Belt,empirical research is carried out,and the validity and stability of the model are ensured by robustness testing.Through theoretical analysis and empirical research,the article draws the following conclusions:(1)The development of digital inclusive finance can optimize the consumption structure of rural residents;(2)The breadth and depth of coverage have a significant impact on the consumption structure of rural residents,while the level of digitization has an insignificant impact;(3)The development of digital inclusive finance can increase rural residents’ expenditures in clothing,household equipment and services,education,culture and entertainment,and reduce their expenditures on housing;(4)The consumption structure of rural residents is influenced by multiple factors such as the urbanization rate.Based on the above conclusions,the article proposes the following suggestions:(1)Improve the basic construction of digital inclusive finance in rural areas;(2)Strengthen the training of financial talents in rural areas;(3)Activate the consumer market in rural areas;(4)Establish and improve long-term mechanisms for expanding rural residents’ consumption.