Research On The Impact Of Digital Inclusive Finance Development On Urban-rural Income Gap

At the present stage,China’s poverty alleviation work has made great achievements.In the following 14th Five-Year Plan,China will continue to persevere,stay true to its original aspiration,strengthen targeted poverty alleviation and rural revitalization,so as to achieve the coordinated development of urban and rural economy,narrow the income gap between urban and rural residents,and promote the realization of the goal of common prosperity.And overall development of urban and rural economy,it’s not only to have its own resources endowment for reasonable use of science,more needs to be positive with the help of financial support for the real economy,with the aid of digital pratt&finance,solve the micro,small and medium enterprises and diversified financial services group in social demand,so as to promote production and release of consumption to drive economic growth.However,digital inclusive finance started late in China,and the corresponding system is not perfect.Whether it can effectively fit the actual development situation of China’s urban and rural areas in the process of development,whether it can effectively narrow the income gap between urban and rural areas and its specific influence mechanism still need to be further discussed and analyzed.Based on the literature review of digital inclusive finance,this paper analyzes and discusses the influence mechanism of digital inclusive finance on the income gap between urban and rural residents,and selects panel data of 282 Cities in China from 2011 to 2020,and conducts regression analysis on sample data of cities in China and the east,central,west,south and north.It is concluded that digital inclusive finance in China has significantly reduced the income gap between urban and rural residents.Due to the difference of location conditions in different cities,the impact of digital inclusive finance on the income gap between urban and rural residents has significant location heterogeneity.Secondly,the sub-dimensional regression shows that the coverage breadth and digitalization degree of digital inclusive finance significantly reduce the income gap between urban and rural residents,while the depth of use expands the income gap.At the same time,this paper further analyzes the industrial structure in the development of digital inclusive finance to narrow the urban-rural income gap plays an intermediary role.In addition,this paper introduces bank network data,urban agriculture-related loan data and poverty data.Through regression analysis,it is found that digital inclusive financial index can positively promote the increase of bank network coverage and urban agriculture-related loan ratio,reverse inhibit the increase of poverty incidence,and achieve poverty alleviation effect.That is,the development of digital inclusive finance can improve the availability of financial services in counties and villages,and reduce the urban-rural income gap by alleviating poverty.Based on the empirical analysis results,this paper finally puts forward relevant measures and suggestions,in order to provide a reference for promoting the healthy development of digital inclusive finance in China,reducing the urban-rural income gap,and promoting the integrated development of urban and rural areas.