Research On The Relationship Between Rural Financial Development And Rural Economic Growth

China is an agricultural superpower in the world, in order to promote rural economicgrowth, China has introduced a series of consecutive push "San Nong" development policymeasures, made a full deployment, have made gratifying achievements, but there is still a lotof problems in the development of rural economy. In order to further promote rural economicgrowth and development will focus on the rural financial system. Therefore, guided by relatedtheory, methods of qualitative and quantitative, taking Shandong Province as an example, tostudy the relationship between rural financial development and rural economic growth, whichhas important theoretical significance and practical value. Specific performance:(1) thecurrent, productivity by the shackles of the traditional system is deep, the higher the degree ofdependence on rural economic development funds, through the research to improve the ruralfinancial service system, and promote the rapid development of the rural economy.(2)through the study, hope that the extended future rural financial services, its impact oneconomic growth will not only provide the money, credit, but to provide a full range ofservices.Because of geographical reasons, uneven development of different regions in China’srural financial system, there is a lack of competitiveness, such as rural financial markets losethe formal financial system, in rural areas it is difficult to bring in commercial financialinstitutions, policy-oriented financial institutions lack small and rural credit cooperativesupporting agriculture and other issues, these will restrict the development of China’s ruralfinancial system, hampering China’s rural economic growth. To specific analysis my ruralfinancial system exists of problem, this in on both at home and abroad research dynamicanalysis of based Shang, to related theory for guide, analysis has rural financial developmentand rural economic growth Zhijian of mutual role mechanism, described has my ruralfinancial development of basic features, and to Shandong province rural financialdevelopment for examples, analysis has Shandong province rural financial system exists ofproblem, through literature finishing and data collection empirical research has Shandongrural financial development on rural economic growth of role relationship and contributioneffect, Points to highlight in the development obstacles, eventually reduce the cost of financial services in rural areas, strengthen the financial services risk management, promoting theinnovation of rural financial products and systems was raised by reform of rural financialsystem and policy suggestions about promoting faster and better development of the ruraleconomy.The results show that there is a positive correlation between the increase, rural economicgrowth and income growth of farmers and increase the income of farmers, agricultural loans,and with the increase of agricultural deposits have certain negative correlation. Ruraleconomic growth and rural financial development of reciprocal causation relationship,increase agricultural loans will promote rural economic growth, but the agricultural balancewill increase to inhibit the growth of the rural economy.