The Impact of Digital Inclusive Finance on Farmers'Trade Credit Supply
This paper empirically tested the impact of digital inclusive finance on the trade credit supply of farmer and its mechanism by using two rounds of micro data of 2017 and 2019 from China Household Finance Survey(CHFS)of Southwestern University of Finance and Economics and Chinese Family Database(CFD)of Zhejiang University.It is found that digital inclusive fi-nance alleviates the credit constraints of farmers and reduces the cost of trade credit supply,thus promoting the supply of trade credit to farmers.Moreover,digital inclusive finance not only supplements farmers'external liquidity,but also reduces the occupation of farmers'trade credit supply on their own liquidity.The heterogeneity analysis explains that for farmers with vertical correlation between upstream and downstream,low diversification of production and manage-ment,and high proportion of non-grain agricultural products,digital inclusive finance has a more significant impact on their trade credit supply.Further analysis shows that the supply of trade credit can promote the market participation of farmer,and digital inclusive finance en-hances the willingness of farmer to use trade credit to participate in the market,which helps to increase the income of farmer and improve their welfare.The research conclusion of this paper shows that digital inclusive finance affects the factor allocation between farmers and downstream business entities by increasing the supply of trade credit to farmers,and provides empirical evi-dence and policy enlightenment for digital inclusive finance to empower agricultural production and management activities and open up the"last mile".
Digital Inclusive FinanceFarmersFarmers'Trade credit supplyFarmers'Mar-ket Participation
万方数据
维普
