| As we all know,having a good financial environment is a key factor in ensuring rapid economic growth.At present,the income gap between urban and rural areas in China is still relatively large.If we do not pay attention to it,it will seriously affect China’s financial environment.Therefore,it is imperative to strengthen China’s financial stability.In this context,it is of great practical significance to study the impact of urban-rural income disparity on financial stability.This thesis mainly considers two aspects of investment behavior and social stability.Firstly,it expounds the mechanism of the impact of urban-rural income gap on financial stability,followed by financial development index,financial vulnerability index,financial stability index and world economic climate index.The comprehensive construction of the national financial stability comprehensive index from 2002 to2016,and then the national financial stability composite index and urban-rural income ratio regression analysis,the reverse relationship between the two,and in order to ensure the conclusion The rigor of this,continue to build a comprehensive financial stability index,divide the 31 provinces of the country into three regions of East,Central and West,introduce the first-order lag term of urban-rural income ratio as a tool variable,and use the system GMM model for regression analysis.The impact of urban-rural income gap on financial stability in different regions was studied.Finally,the regression was carried out,and the mechanism test was used to judge whether the theoretical analysis and the empirical results corresponded.The research in this thesis finds that the urban-rural income gap has a significant negative impact on financial stability,both in the national time series regression and in the provincial panel data regression.In addition,if the country is divided into three regions of East,Central and West for horizontal comparison,the urban-rural income gap has the greatest impact on the central region,followed by the eastern region,but the least impact on the western region,which also indicates that with the level of economic development The impact of urban-rural income gap on financial stability will vary to varying degrees.Therefore,comprehensive theoretical analysis and empirical research are not difficult to draw conclusions.Reducing the urban-rural income gap in China is an important prerequisite for ensuring China’s financial stability.Only in the case of financial stability can China’s economy be better developed. |
