A Study On The Impact Of Rural Financial Deepening On Farmers' Consumption Structure

In the new era,the main contradiction of our society has changed.When people pursue a quality life and consumption,people's consumption structure has clearly differentiated into survival consumption and development consumption,and development consumption has become an important index to measure the quality of life.Finance is the core of modern economy.Under the background of China's construction of a modern economic system,the expansion and upgrading of consumption and the deepening of finance need to go hand in hand in benign interaction and coordination to form a new engine of economic development in the new era.Rural finance is playing an increasingly important role in promoting rural economic growth.Rural financial deepening to a certain extent,promote the rural economic growth,but at the moment,because our country rural especially the five northwestern provinces rural real economy fall behind of the hardware and soft environment,leading to rural financial deepening pull function on the rural economic growth obvious enough,especially in the rural financial deepening impact on farmers' consumption structure results it is not clear,because in the northwest five provinces,for example by using generalized matrix estimation method,the rural financial deepening impact on farmers the necessity and developmental consumption,analysis of the economic situation and favorable and rational allocation of resources,has practical significance and theoretical significance,It plays a practical role and provides theoretical basis for deepening the reform of rural finance in five provinces in the future,innovating rural financial system and promoting rural economic development.This paper,from a direct point of view,analyzes the impact of the deepening of rural finance on the consumption structure of farmers,that is,the two systems of subsistence consumption and development consumption,and the direction of each specific consumption project,which has feasibility and practical significance.Using eight items of consumption data,per capita income of farmers and per capita loan panel data of farmers from 2005 to 2015 in shaanxi,gansu,qinghai,ningxia and xinjiang of the five provinces in northwest China,this paper studies the impact of rural financial deepening and household consumption structure.The first part takes food consumption expenditure,clothing consumption expenditure,housing consumption expenditure and household equipment and supplies and services expenditure as research objects,respectively establishes four consumption item models,and USES the dynamic panel data model GMM to estimate the impact of rural financial deepening on farmers' various subsistence consumption expenditure.The second part takes transportation,communication,culture,education,entertainment,medical care and other consumer expenditures as the research object,establishes the model in the same way,and analyzes the impact of rural financial deepening on farmers' development-oriented consumer expenditure.Based on the analysis of the impact of farmers' subsistence expenditure and development expenditure,the empirical results are explained by combining the current rural consumption situation in five provinces in northwest China and the theory of farmers' consumption behavior.The main conclusions of this paper are as follows: through GMM estimation,it is found that the degree of rural financial deepening has different effects on farmers' subsistence consumption and development consumption.Among them,the rural financial deepening has no significant impact on survival consumption.Influence on the developmental consumption is different,the northwest region of the rural financial deepening has not play its proper role,for cultural entertainment,health care and other spending three developmental consumption result is not significant,but the traffic communication developmental consumption effect is remarkable,the results and the overall rural financial deepening on farmers' consumption in China has a significant role in promoting,explain our country northwest rural financial deepening degree and potential role not into full play,it is in northwest China in order to speed up the financial deepening reform provides a train of thought and the necessity,we will accelerate reform of the financial deepening,Raising farmers' income will be an effective way to release the vast rural market in northwest China.Through rural financial deepening impact on farmers' survival and developmental consumption comparison,five provinces should accelerate to deepen reform of rural finance and rural finance should be utilized to the promoting function of the rural economy and rural consumption,promote the five provinces increase farmers development-oriented consumer spending,optimize improve farmers' consumption structure,from the necessity to development-oriented.