Research On The Poverty Reduction Effect Of Digital Inclusive Finance Based On Multidimensional Relative Poverty In Rural Areas

At the end of 2020,China’s poverty alleviation campaign achieved comprehensive victory,effectively solving the overall poverty problem in rural areas,and eliminating absolute poverty.The elimination of absolute poverty is not the end of poverty alleviation work,as the problem of relative poverty persists in some regions for a long time.Compared to absolute poverty,relative poverty has a wider dimension and a larger population base.Financial poverty alleviation is an important means of poverty alleviation,which can build a long-term poverty reduction mechanism of "blood transfusion+hematopoiesis",increase the endogenous driving force of poverty reduction,and is an effective poverty alleviation method.China has invested a large amount of resources in financial poverty alleviation,providing financial policy support for farmers’ financial lending,expanding financing channels for farmers’ production and operation activities,and effectively filling the gaps in rural financial infrastructure construction.In many regions,digital finance has also become an important channel for farmers to obtain financing and savings.The development and popularization of digital finance have injected new impetus into rural economic development.In 2021,the No.1 central document of the Central Government first proposed to develop "rural digital inclusive finance";The No.1 central document in 2022 once again proposed to "strengthen financial services for rural revitalization".In this context,studying the impact of rural digital inclusive finance on multidimensional relative poverty,scientifically and accurately evaluating its multidimensional poverty reduction effect,and exploring the mechanism of digital inclusive finance on poverty reduction are of great significance for China to standardize and promote the development of rural digital inclusive finance,do a better job in the future of deeper and more dimensional poverty reduction,and achieve rural revitalization and common prosperity.This article improves based on the principles and methods of indicator selection and weight setting in existing literature,combined with the actual situation in China,and constructs a multidimensional relative poverty measurement index system that includes multiple dimensions such as income level,quality of life,health status,education level,and subjective cognition,fully reflecting the poverty situation of farmers.On this basis,multidimensional relative poverty identification and decomposition were conducted on rural households,and the impact of different indicators of digital inclusive finance on the multidimensional poverty index was studied.To study the poverty reduction effect of rural digital inclusive finance,empirical analysis was conducted on the multidimensional poverty reduction effect of rural digital inclusive finance using micro survey data from the China Household Tracking Survey(CFPS)and the Peking University Digital Inclusive Finance Index.The research conclusion is that rural digital inclusive finance does have multidimensional poverty reduction effects;The progress of digital inclusive finance can enhance household human and social capital,enhance farmers’ financial literacy,and provide the possibility for impoverished groups to use financial resources to overcome multidimensional relative poverty.The study also found that there are certain differences in the poverty reduction effect of digital inclusive finance among different regions,with the poverty reduction effect in the eastern region being greater than that in the central and western regions;And it is more conducive to alleviating mild poverty among farmers,while the alleviation effect on severe poverty is relatively weak;The poverty reduction effect of digital inclusive finance on the dimensions of income and living standards is the most significant,while the poverty reduction effect on health,education,and subjective cognition is not significant.Based on the research conclusion and objective reality,this article proposes suggestions for further developing rural digital inclusive finance and solving multidimensional relative poverty in rural areas:(1)promoting the establishment of a scientific and comprehensive multidimensional poverty identification system;(2)Establish and improve financial service platforms in impoverished areas;(3)Continuously strengthening the construction of digital infrastructure;(4)Attach importance to general education in underdeveloped rural areas;(5)Actively cultivate rural social capital and improve the structure of social capital.