Research On The Influence Of Inclusive Finance Development On Regional Disparities Of Farmers’ Income

The Central Committee of the Communist Party of China proposed to comprehensively promote rural revitalization,to implement rural construction actions,to deepen rural reforms,to achieve an effective connection between the consolidation of poverty alleviation achievements and rural revitalization,to improve the rural financial service system,and to develop agricultural insurance.Since the introduction of the rural revitalization strategy,rural development issues in various parts of my country have received extensive attention,and the problem of unbalanced development in rural areas has gradually been exposed.The current income gap between farmers is still large.The existence of these problems is not conducive to the realization of the long-term goal of rural revitalization.In recent years,my country has actively promoted the development of inclusive finance.The implementation of this policy is of great significance to improving the income of low-income groups in my country and alleviating income imbalance.Therefore,it is necessary to improve the construction of financial service infrastructure in rural areas,continuously improve the inclusive financial service system,give full play to the key role of inclusive finance in boosting farmers’ income and narrowing the regional development gap,promote the development of inclusive finance through science,and optimize the pattern of income distribution.,to accelerate the realization of the goal of common prosperity.This paper takes inclusive finance and the regional income gap of farmers as the research object,takes the theory of financial exclusion,the theory of financial inhibition and deepening,the theory of regional balanced development and the Kuznets inverted "U" shape theory as the theoretical basis,and fully combs the inclusive finance.The impact mechanism of financial development on farmers’ income disparity between regions.Inclusive finance affects the regional disparity of farmers’ income through poverty reduction effect,breaking down barrier effect,expanding financial service demand,"trickle-down effect" and improving rural employment structure.Based on this,it is proposed: Hypothesis 1: The development of inclusive finance can narrow the income gap of farmers between regions;Hypothesis 2: The development of inclusive finance mainly promotes the narrowing of the income gap between farmers by improving the fairness of access to financial services in different regions;Hypothesis 3 : The development of inclusive finance can help narrow the income gap in different rural areas by improving the rural employment structure.Then,this paper comprehensively analyzes the development of inclusive finance in my country,and finds that the development level of inclusive finance in my country is constantly improving,but there is still an imbalance between regions.At the same time,combined with statistical data,using the Theil index calculation method to calculate the regional disparity of farmers’ income,the analysis concluded that the regional gap of farmers’ income between provinces and provinces in my country has been shrinking,but the regional gap of farmers’ income between provinces is still large.In the empirical analysis,this paper selects the provincial panel data of 28 provinces in my country from 2007 to 2019,and uses the static panel fixed effect model to carry out regression analysis on the impact of inclusive finance on the income gap of farmers.The empirical analysis results show that: my country’s inclusive finance Financial development can effectively reduce the income gap of farmers between regions.From the perspective of the impact mechanism,the development of inclusive finance can promote the employment and entrepreneurship of individuals in rural areas,especially poor rural areas,and improve the employment structure by increasing the supply of financial funds to individuals who lack funds.Promote the reduction of regional income gaps.From different dimensions,the improvement of the availability of financial services has a greater effect on the narrowing of the income gap of farmers in different regions;from the perspective of different regions,the impact coefficient on the eastern provinces is the largest,and the impact on the western regions is smaller than that in the eastern regions.,indicating that in areas with higher levels of economic development,the development of inclusive finance has a better effect on narrowing the income gap of farmers within the province;while in the central region,the development of inclusive finance has no significant effect on narrowing the income gap between farmers within the province.The reason for this result may be that during the development of inclusive finance in the central region,insufficient attention was paid to low-income rural areas,and it is necessary to pay attention to the effective focus of the investment of inclusive finance funds in different regions.Finally,based on the results of theoretical and empirical analysis,policy recommendations are put forward: scientifically formulate regulatory policies for inclusive finance from the macro level;build a system of multiple inclusive financial institutions to lower the entry threshold for rural financial markets;promote inclusive finance "precise drip irrigation" services.The main innovations of this paper are as follows: First,the current scholars’ discussion on income gap is more focused on the urban-rural income gap,and the research materials on the inter-regional income gap need to be enriched.This paper takes the interregional farmers’ income gap as the The research object enriches the research on the income gap between regions.Second,this paper enriches the theory on the impact of inclusive finance on income gaps in different regions based on the existing results and the perspective of inclusive finance development.