The Rural Inclusive Financial Service Points and Household Credit in Rural China
Various regions have been continuously improving the construction of rural in-clusive financial service points to"last mile"in order to bring financial services to villages.Based on the 2020-21 China Land Economy Survey data and utilized a Regression Disconti-nuity(RD)model,this paper examines how farmers'credit behavior was altered by these Inclusive Financial Points based in rural areas.The study demonstrates that these service points increase farmers'chances of obtaining credit,enlarge the scope for getting a loan,and also help in enhancing their understanding of formal credit processes,thereby easing out constraints faced by households while seeking formal credits.Having origins in rural institutional advantages,these service points deepen farmers'overall knowledge about fi-nancial products and financial literacy hence the ability to secure loans especially formal credit.Further analysis reveals that points of rural inclusive financial service make farmers less liable for defaulting on credit and enhance their credit awareness.Moreover,despite the fact that these service points have increased borrowing scale of living expenses they did not much extend to productive credit.As such,enhancing rural financial services should be key policy tool that the government ought to implement as a way of resolving farmer's prob-lems related to financing and high cost of obtaining credit.
Inclusive Financial Service StationsFormal CreditInformal CreditRD
万方数据
维普
