Research On The Relationship Between Rural Financial Development And Farmers' Income Growth In Shandong Province

At present,the problem of rural financial backwardness is not only the main factor affecting the development of rural economy,but also has become a key factor restricting the development of the whole society and economy.From the point of view of rural financial development theory,there must be some correlation between rural financial development and farmers' income growth,but,there are still arguments or differences in the research on the relationship between the two in academic circles.So,this paper combs the relationship between the development of rural finance and the increase of farmers' income in Shandong province,with has combed the domestic and foreign research literature and combined with the relevant theoretical basis.This paper changes the previous analysis ideas which mostly based on the national level,starting from the province,firstly,this paper expounds the present situation of rural finance development in Shandong province from the following aspects: the definition of rural finance scope,the coverage rate of rural financial institutions,the agricultural loan service and the risk supervision of agricultural loan,the analysis shows that the rural finance in Shandong province is facing serious dual financial structure problems at present.At the same time,through the data analysis,we find that Shandong province farmers' income growth is facing the problem of increasing farmers' income quickly,but the stage fluctuation is bigger and bigger,the income difference between urban and rural residents is bigger and bigger,these problems are the key problems that need to be solved urgently in the current rural financial reform.In this paper,the scale of rural financial development(X1),the efficiency of rural financial development(X2)and the structure of rural financial development(X3)indicate the level of rural financial development in Shandong province,and the per capita net income of farmers(Y)represents the farmers' income index in Shandong province.the relationship between rural financial development and farmers' income growth in Shandong province is studied by using the methods of unit root test,cointegration test and Granger causality test.It is found that the structure and scale of rural financial development in Shandong province is the main reason for the change of farmers' income;There is a dual relationship with Promoting and suppressing between rural financial development and farmers' income growth.Based on the results of the study,some policy proposals are put forward,such as developing the scale of rural financial institutions,improving the rural financial structure,strengthening the reform of rural financial system,accelerating the transformation and upgrading of dual financial structure,this paper hopes to bring some help to the rural financial reform in Shandong province,so as to promote the growth of farmers' income.