| Microfinance is considered as a kind of assistance to support financial services for poor and low-income people, which aims to eliminate poverty and promote the household's income. Meanwhile it promotes the development of rural economic and social progress. Since the launching of microfinance in China, microfinance has developed rapidly. In the western region, it has worked out lots of effective operational modes of microfinance, which has achieved remarkable results in the aspect of promoting the household's income, helping the household get out of poverty and developing the rural economy. However, microfinance is still confronted with many difficulties and dilemmas when it promotes the household's income. Thus, studying on the increasing of household's income through microfinance in less developed areas has practical and long-term significance.The article introduces the relevant theories of microfinance and the increase of household's income, using qualitative and quantitative analysis to explore the status and existed problems of increasing of household's income through microfinance in less developed areas. Then conduct empirical analysis through the data of field survey and constructing a simple regression model to identify the relationships between the increasing of household's income and the other eight variables. We can find that the scale and use of microfinance have significant impacts on the income of households. In accordance with the principle of normative development, we analyze the constraints of microfinance improve the income of household's from three dimensions of the external environments, their own internal operating mechanisms of RCC and the farmers. Thus, we proposed the related countermeasures and suggestions of promoting the income of household through microfinance.The paper indicates that there is some positive relationship between the microfinance mainly from RCC and the increasing of household's income. We can conclude that microfinance promotes the increase of household's income from the field investigation and simple regression. That is to say, the more money provided to farmers, the faster and higher the household's income increasing. When the microfinance was mainly used for aquaculture, planting and other productive activities, the positive correlation will be more apparent. Meanwhile, the microfinance provided to the farmers who implement"One Village One Product"policy has remarkable influence on the household's income. Because of the "One Village One Product" policy, the farmers can ensure the using channels for small loan funds and mainly used for the production of higher productivity.Finally, the article thinks that the external environment, strengthening the operation of the microfinance mechanism, improving the quality of farmers and other aspects should become currently the developmental focus. |
