Study On Farmers' Credit Cooperative Willingness To Participate In Farmers' Professional Cooperatives

Many problems such as poor financing channels and difficult financing have been caused for a long time due to the lack of effective collateral in farmers' family management coupled with the weak nature of agriculture.These problems have been severely blocking the scale and development of agriculture intensification,as well as the improvement of farmers' income levels.Since the "Decision of the Central Committee of the Communist Party of China on Several Major Issues about Promoting Rural Reform and Development" clearly stated that "qualified farmers' professional cooperatives are allowed to carry out credit cooperation",the Central No.1 document of each year has always emphasized and encouraged the internal credit cooperation among farmers' professional cooperatives.Driven by multiple factors such as national policies and farmers' needs,local cooperatives actively explored the practice of internal credit cooperation,which has spawned a variety of new forms of credit cooperation leading to a rapid development in rural China.These explorations significantly relieve the frequent,short-term microfinance demands of cooperative members,and promote peasants' income,which have also become the hotspots in academic fields.The development of internal credit cooperation among farmers' professional cooperatives is an effective means to solve the financial problems of farmers.It is also an effective way to resolve financing difficulties and to develop cooperative finance in rural area.Regarding the farmers' professional cooperatives in Northwest China,most of the farmers' professional cooperatives are focusing on cooperation in agricultural production technology,agricultural product sales and processing,etc.,but have not fully played the role in the rural financial sector.Therefore,how to better promote the internal credit cooperation of cooperatives,especially how to increase the peasants' enthusiasm for participation,is the key issue in this thesis.We first defined the conception of cooperatives and credit cooperation,and outlined the ways in which cooperatives conduct internal credit cooperation.Then,according to a related cooperatives finance theory,property rights theory,and public choice theory,we analyzed the theoretical basis for cooperatives to carry out internal credit cooperation,which may lay a theoretical foundation for the following research.Based on the field investigations,the characteristics of the farmers' financial needs in northwest China were described in detail.In addition the development of the internal credit cooperation of the local cooperatives and the external environmental conditions were analyzed from the aspects of the operation of the credit cooperative business,the preliminary results achieved,and the political support of local governments.We also found some problems in actual operation.Based on the issues we raised,we selected more specific issues for analyzing and then proposing potential hypotheses from the aspects of local farmers' personal characteristics,household characteristics of farmers,farmers' needs for borrowing,and farmers' attitudes to cooperative credit cooperatives.Based on our field survey data from Liquan County,Shaanxi Province,the binary logistic model was used to analyze the relevant factors affecting farmers' willingness of participation.Then,using the ISM analysis method,the stratified relationship of specific influencing factors was stratified,which reveals the primary and secondary divisions and hierarchical structures of related influencing factors.Based on the results of qualitative and quantitative analysis above,we can find: farmers with younger age,higher education level,relatively rich family,more dependent on agriculture,and large demand for loans in the future show stronger willingness to participate in credit cooperation.Meanwhile,farmers' understanding of cooperative credit cooperatives and support policies from the local government also influences their enthusiasm for participating in credit cooperation to some extent.We proposes to actively carry out pilot projects for internal credit cooperation in cooperatives,improve the cooperatives' constitution and credit cooperation management system,explore mutual promotion mechanisms for cooperative internal credit cooperation and industrial development,and strengthen coordinated supervision of internal credit cooperation in cooperatives,and guidance services,etc.