Research On The Influence Of Financial Knowledge On Family Entrepreneurship Behavior

Entrepreneurship is an important driving force for the sustainable and healthy development of the national economy,and a realistic choice to solve the employment of residents and improve their living standards.In order to reduce unemployment and drive innovation,the Chinese government has promulgated a series of entrepreneurship support policies to encourage people to start businesses,promote the optimization and upgrading of the industrial structure,and improve the entrepreneurial environment in urban and rural areas in my country.However,the improvement of the urban and rural entrepreneurial environment only provides more market opportunities for entrepreneurs in objective conditions.For entrepreneurs,the improvement of their own capabilities helps them to identify market opportunities and quickly seize the opportunity to start a business.Financial knowledge helps residents make scientific economic decisions,improves the entrepreneurial ability of decision makers,and promotes the rational and effective allocation of financial resources by decision makers.Entrepreneurial behavior,the magnitude of the impact,and the differences in the impact on different subjects are worth further research.This paper uses the data of the 2015 China Household Finance Survey,and review relevant literature and theoretical research,taking family entrepreneurs as the research object,and firstly uses factor analysis to measure the family.The financial knowledge level indicator,from the perspectives of entrepreneurial decision-making,entrepreneurial motivation and entrepreneurial performance,uses the Probit,IV Probit and OLS models to empirically analyze the impact of financial knowledge on family entrepreneurial behavior,and uses the mediation effect model to further explore the possible mechanism of action,to test the specific path of financial knowledge affecting family entrepreneurial behavior from two aspects of lending behavior and risk attitude.In the heterogeneity analysis,the influence of financial knowledge on family entrepreneurial behavior is analyzed from the perspectives of urban and rural areas and education level.Finally,the main conclusions of this paper are as follows:The improvement of financial literacy has a significant positive impact on family entrepreneurial behavior,which can significantly increase the family’s entrepreneurial probability,have a positive effect on the family’s active entrepreneurial choices,and can significantly improve family entrepreneurial performance.The regression results after using the instrumental variable method are still robust.The positive effect of financial knowledge on the entrepreneurial decision-making of urban households is more obvious,and the effect on the entrepreneurial performance of urban households is also greater than that of rural households.From the perspective of education level,the study found that the positive impact of financial knowledge on entrepreneurial activities is more significant among household heads with elementary education.Through the mechanism of action test,it is found that the improvement of financial knowledge level will enhance entrepreneurs’ preference for formal credit channels and increase their demand for formal credit,effectively ease the constraints of family formal credit,and then promote family entrepreneurial activities.At the same time,financial literacy will also improve family entrepreneurial intention by strengthening the entrepreneur’s risk appetite.Finally,based on the above research conclusions,this paper puts forward relevant policy suggestions: the government should further popularize financial knowledge to residents,strengthen financial knowledge education and training,narrow the financial knowledge gap between urban and rural residents,and optimize financial institutions in my country.Credit support to promote the high-quality development of entrepreneurship in my country.