Research On The Impact Of Digital Inclusive Finance On Non-farm Employment

Solving the problems of agriculture,rural areas and farmers has always been the top priority of the work of the Party and the government.The country has solved the problems of agriculture,rural areas and farmers through the rural revitalization strategy.The key point is to solve the problem of farmers’ employment and increase their income.Due to the instability of agricultural income and low labor yield,agricultural operation income can only promote the small increase of rural household income in the short term.Therefore,to improve rural household income level in the long run,it still needs to rely on the growth of non-agricultural employment income.The traditional financial development level restricts the employment of rural workers to a certain extent,while digital inclusive finance,as a policy window for the development of rural finance,can effectively play a positive role in easing farmers’ borrowing constraints and increasing capital investment in rural areas.Digital financial inclusion is of great significance in promoting non-agricultural employment of rural residents,providing equal development opportunities for rural groups,improving rural household income,narrowing the income gap between urban and rural areas,and achieving healthy economic development.In this context,some scholars have conducted research and concluded that digital inclusive finance has a positive promoting effect on farmers’ participation in non-agricultural work,entrepreneurship and income increase.On the basis of relevant studies,this paper more specifically analyzes the impact of digital inclusion finance on rural labor’s participation in non-agricultural employment,non-agricultural employment types and nonagricultural income.At the same time,it considers the difference between different regions or different traditional financial levels on the impact of digital financial inclusion on nonfarm employment.In addition,existing research conclusions mainly explore the direct impact of digital inclusion finance on non-farm employment.The innovation of this paper lies in the empirical analysis of the impact mechanism of digital inclusion finance on nonfarm employment,improvement of relevant research theories,and attempt to provide a feasible path to improve the level of non-farm employment.With the help of panel Probit model,the influence of digital inclusion finance on whether rural people choose non-farm employment and non-farm employment type was explored,and the fixed-effect model was used to analyze the influence of digital inclusion finance on non-farm employment income.Secondly,the samples were divided into eastern,central and western regions and regions with different levels of traditional finance to study the difference of the impact of digital financial inclusion on non-agricultural employment in different regions.Finally,the number of small,medium and micro enterprises and the number of R&D projects are selected as the intermediary variables,and the intermediary effect model is used to analyze the impact mechanism of digital financial inclusion on nonagricultural employment.Through the research,this paper finds that:(1)Digital financial inclusion can effectively improve the non-farm employment rate and income of rural workers,and promote rural workers to choose non-farm employment.(2)The impact of digital financial inclusion on non-farm employment is heterogeneous.Digital inclusion finance plays a role in inclusive growth and has a greater impact on the non-farm employment rate and non-farm income of rural workers in the central and western regions than in the eastern regions.In addition,digital inclusive finance promotes rural workers in areas with low traditional financial level to participate in non-farm work,while improving the non-farm income of rural workers in areas with high traditional financial level.(3)Digital inclusive finance improves non-agricultural employment of rural workers by promoting the development of small and medium-sized enterprises and enterprise R&D and innovation.Finally,according to the empirical analysis results and corresponding theories and policies,this paper puts forward countermeasures and suggestions: First,we should promote the coordinated development of digital finance and traditional finance to improve the financial system.Second,we should improve the financial quality of farmers,guide the use of financial products,and deepen the impact of digital inclusion finance on non-farm employment.