The Influence Of Rural Household Head Migration Experience On Rural Household Debt-based On CHFS2017

With the rapid economic development of China’s urban and rural areas,more and more rural residents have begun to move to cities for work in pursuit of higher incomes.In the urban life of rural residents,they will acquire all kinds of ideas from the city,including consumption concepts;After acquiring the concept,they will influence the debt of their rural households through different media.The financial crisis in 2008 spread to the whole world,and the main cause of the financial crisis was the unreasonable structure of household debt.From a global perspective,controlling household debt within a reasonable range can promote the steady development of the global economy.From the perspective of China’s rural areas,it is of great significance to improve the debt structure of rural households to reduce their financial risks,improve their living standards,and achieve rural revitalization.Based on the theory of acculturation,consumption ratchet effect and life cycle theory,this paper constructs the mechanism framework of the impact of household head migration experience on rural household debt.Meanwhile,the data of CHFS2017 is adopted,which is based on Chinese households and aims to collect relevant information on the micro level of household finance.Through screening,the scope of the questionnaire is set in Chinese rural families.Firstly,this paper makes a descriptive statistical analysis on the amount,structure and source of debt of rural households in China and the debt situation of urban households.Then the Logit model is used to study the impact of household head migration experience on rural household debt,the impact of household head migration experience on different types of rural household debt,and the impact of household head migration experience time on rural household debt.The robustness test is carried out by eliminating relevant samples.Then the mediating effect analysis was carried out,and the index of financial literacy of the head of household was constructed by factor analysis.The financial literacy of the head of household was used as the mediating variable,and the multiple linear regression method was used to study the mediating effect of the head of household’s financial literacy on the impact of the head of household’s migration experience on the debt of his rural family.Using household cash holdings as a mediating variable,this paper studies the impact of household cash holdings on the debt of rural households in the time of household head migration.The empirical analysis results show that the migration experience of the head of a household has a positive impact on the generation of rural household debt,while the migration experience of the head of a household has a negative impact on the generation of rural household debt.The financial literacy of the head of the household has a mediating effect on the impact of the head of the household migration experience on the rural household debt;Household cash holdings play a mediating role in the impact of the time of household head migration on the debt of rural households.Finally,this paper puts forward rationalization suggestions from three aspects:improving the government’s attention to rural finance,strengthening the financial participation of rural residents,and giving play to the leading role of rural household heads.The government should do a good job in the popularization of rural financial knowledge,strengthen the rural financial supervision and improve the rural life security;Secondly,the enthusiasm of rural residents to participate in financial activities can be improved,so as to increase the diversity of the sources of property income and balance the risks and benefits.For the heads of rural households,as they are the masters of the family and the decision-makers of important affairs,they will play a decisive role in the happening and scale of debt in rural households.If the head of a rural household plays a leading role and passes on the financial knowledge learned in the migration experience to the rural family members,it will be beneficial to improve the financial literacy level of rural families,optimize the debt structure of rural families,improve the quality of life of rural families,and thus increase the happiness of rural families.