Research On The Impact Of Digital Inclusive Finance On The Vulnerability Of Chinese Family Finance

In the 14th Five-Year Plan,clearly pointed out to strengthen financial supervision and prevent systemic financial risks;At the same time in the report of the 20th National Congress of the Communist Party of China put forward: "Strengthen and improve modern financial supervision,strengthen the financial stability guarantee system".In recent years,the leverage ratio of the household sector has increased significantly,which means that the financial risks faced by the household sector are increasing year by year.Household financial vulnerability can better assess the financial risks faced by the household sector,which has been highly concerned in recent years.Therefore,effectively reducing the financial vulnerability of the household sector has become an important link to prevent financial risks.Digital inclusive finance can provide regular financial services for families and then affect the financial vulnerability of Chinese families.Therefore,to explore the current situation of family financial vulnerability and the mechanism of digital inclusive finance on family financial vulnerability in our country,it is important to prevent and resolve financial risk,and also has practical significance to ensure that all the people achieve common prosperity.In this paper,by combing domestic and foreign scholars’ literature research on digital inclusion finance and household financial vulnerability,and combining with classical economic theories such as financial development theory,a more detailed theoretical analysis framework of the impact of digital inclusion finance on household financial vulnerability is constructed.Based on this,this paper uses the data of CHFS2019 and combines the data of Digital Financial Inclusion index 2019 to construct the index measurement and analyze the current situation of Chinese household financial vulnerability.68.25% of households have the problem of excessive debt or insufficient savings,and further discusses the impact of digital financial inclusion on Chinese household financial vulnerability.Firstly,the orderly Probit model is used to discuss the impact of digital inclusion finance and three dimension sub-indices on household financial vulnerability.It is found that digital inclusion finance and three sub-indices can effectively alleviate household financial vulnerability.Among the three sub-indices,the impact of digital degree is the most significant,the mitigation effect of coverage breadth is the second,and the depth of use is the weakest.Secondly,this paper discusses the role of digital inclusive finance on the vulnerability of Chinese family financial.Through the analysis of intermediary effects,it finds that family income and financial literacy play significant part in the intermediary effects of digital inclusive finance on the vulnerability of Chinese family financial.Then,in view of regional differences in economic level and traditional culture,this paper analyzes the effects of digital inclusion finance on family financial vulnerability in urban and rural areas,eastern and non-eastern areas,low wealth households and high wealth households respectively,and finds that digital inclusion finance has a more significant impact on family financial vulnerability in non-eastern areas.The effect is also more pronounced for urban households and those with lower wealth.Finally,the endogeneity test was carried out by conditional mixed estimation method and the robustness test was carried out by changing the explained variables,which verified the reliability of the conclusion.Based on the above theoretical analysis and empirical analysis,in order to effectively and reasonably alleviate household financial vulnerability and guarantee financial stability,this paper puts forward the following countermeasures and suggestions: at the macro level,firstly,to promote the construction of new digital infrastructure,secondly,to accelerate the reform of new financial service system,thirdly,to build a diversified education system,and fourthly,to improve the financial supervision system and mechanism;At the micro level,the first is to encourage residents to improve their financial literacy,and the second is to build a dynamic detection mechanism for household financial risks.