A Research On Regional Differences In Rural Finance Development

Finance is the core of the economy,a well-functioning rural financial system can make the rural economy efficient and well adapt to the market. In the cusp of rural financial reform,theorists have written lots of papers to research regional differences in rural finance development. But there are a few papers on systematic analysis of the internal causes,and the research on trends of regional differences in rural finance development is conflicting. Therefore,based on finance,development economics,statistics,econometrics and other cutting-edge theories of modern economics,this paper analyze the status,influence factors and evolution of regional differences in rural finance development.First of all,rural finance development theory was elaborated .Then,this paper made a research on the experience of the development in rural finance and analyze the status of regional differences in rural finance development,which revealing the current regional differences in rural finance development are very significant. These differences reflected in the volume,the efficiency and structure.Based on that premise,this paper point out the factors that affecting the regional differences in rural financial development,that is economic fundamentals,the degree of financial market,the credit environment. In order to get a clear picture of the trends in the evolution of regional differences, In the empirical research,two methods,two indicators have being used to analyze the changing of the regional differences between1985-2008. Regional differences in rural financial development show an upward trendAfter the above analysis,this paper give some advices. Our local government must accelerate the development of local rural economy,promote market-oriented rural financial system and improve the environment for rural credit.