A Study On Financial Literacy Measurements And Influencing Factors Of Tibetan Farmers And Herdsmen

Financial literacy is a special kind of literacy in which individuals use the basic financial knowledge and financial ability they have acquired to effectively manage their personal or family assets in order to improve their personal or family financial well-being.In the context of high-quality development and the promotion of common prosperity,as well as the effective linkage between the consolidation and expansion of poverty eradication and rural revitalisation,rural finance is responsible for the economic and social development of rural areas,and it is a pressing need to improve the financial literacy level of farmers and herdsmen.A good financial literacy not only helps to improve the financial well-being of farmers and herdsmen and promote their income and wealth,but also can further accelerate the social and economic development of Tibetan farming and herding areas,which is of great significance to the stability of Tibet’s social economy and long-term peace and stability.Firstly,by summarising the theories and literature on financial literacy at home and abroad,this paper identifies the content and framework of the study in the light of the development of rural finance in Tibet,and conducts a study on the financial literacy of local farmers and herdsmen.Then,based on 482 valid sample data,20 indicators were selected from three dimensions,namely financial knowledge,financial capability and financial awareness,to construct a financial literacy assessment system for Tibetan farmers and herdsmen,and a factor analysis was used to measure the overall financial literacy score of farmers and herdsmen.Finally,a multiple linear regression was conducted to empirically analyse the influencing factors of farmers’ and herdsmen’s financial literacy,using the composite score of financial literacy as the dependent variable and the 10 variables that may have influence as independent variables.Through the above systematic study,the following main research findings were drawn:(1)The level of financial literacy among Tibetan farmers and herdsmen needs to be further improved,with the mean score of the comprehensive financial literacy assessment being 50.8 and a large gap in the level of financial literacy among farmers and herdsmen.Firstly,there is a lack of awareness and monotony in the mastery of financial knowledge.Secondly,there is a lack of financial competence in actual financial behaviour.Thirdly,financial awareness is relatively vague.All of the above largely affects the improvement of financial literacy and the realisation of financial well-being of farmers and herdsmen.(2)An empirical analysis of the possible factors influencing the financial literacy of Tibetan farmers and herdsmen was conducted through a multiple linear regression model,and the results showed that the independent variables of gender,age,education level,annual household income,whether the farmers and herdsmen join agricultural production cooperatives,bank loans,whether they have close contact with village cadres,and whether they have close contact with bank staff have significant effects on the level of farmers’ and herdsmen’s financial literacy respectively..However,the two independent variables of type of household business and participation in credit rating do not have significant effects on the financial literacy of farmers and herdsmen.Based on the above findings,the following suggestions are made: firstly,to popularise financial literacy for different groups;secondly,the government should play a supervisory and leading role to create a favourable financial environment;thirdly,to improve the service system and infrastructure of financial institutions to promote financial inclusion in depth.