Sfa-based Efficiency Of Rural Credit Cooperatives In Shaanxi Province And Its Influencing Factors Research

As the rural primary financial services, Shaanxi Rural Credit Cooperatives play the main role of financial supporting to rural area, effectively promoting the new rural development and urbanization construction. Improving the efficiency of the Rural Credit Cooperatives in Shaanxi Province has the important significance for the development of agricultural production, increase of farmers'income as well as steady and fast economic development."With good governance and efficient services to Three Agricultural Problems in Modern Chinese" is the predetermined target of the Rural Credit Cooperatives new round reform. This paper is combining the commercial sustainable management and the policy supporting agriculture. At first, this paper analysis the Shaanxi Rural Credit Cooperatives'present situation, the problem and the influencing factors, then takes the basic situation of Rural Credit Cooperatives from 81 counties in Shaanxi province during the period between 2000 and 2008, the main use of Stochastic Frontier Analysis to assess the cost efficiency, profit efficiency and agricultural supporting efficiency. Finally, this paper compares the efficiency of different regions and different time periods as well as analysis the efficiency influencing factors. We find the cost efficiency, profit efficiency and agricultural supporting efficiency generally improved during the following years. Property right structure, the level of economic development, the core capital adequacy, liquidity and asset quality will influence the efficiency.Based on the theoretical and empirical research, qualitative and quantitative analysis, this paper summarizes the core of improving the efficiency of Shaanxi Rural Credit Cooperatives, and concludes suggestions from the government department, the supervision and the Shaanxi Rural Credit Cooperatives. Only through doing joint efforts from the government, the supervision and the Rural Credit Cooperatives, we can improve the cost efficiency, profit efficiency and supporting agriculture's efficiency of Shaanxi Rural Credit Cooperatives, making the management benefit and agricultural supporting service level of Rural Credit Cooperatives better and better.