Research On The Impact Mechanism Of Digital Inclusive Finance On Family Entrepreneurship

Mass entrepreneurship and innovation are the major background of the times in China.The government has issued a series of financial support policies to improve the current entrepreneurial environment.Under the guidance of these policies,China’s entrepreneurs are growing.However,the participation rate of Chinese families as the main body in the financial market is far from keeping up.Digital inclusive finance has changed the traditional credit model and innovated the product service model,which has greatly improved the participation rate of families in the financial market.This paper discusses the impact of digital inclusive finance on family entrepreneurship,which has important practical significance and theoretical value for the government to formulate more reasonable financial policies,provide more high-quality and efficient services to financial institutions,and promote the development of small and micro enterprises.The author uses the CHFS survey data from 2015 to 2019 and the digital inclusive finance index jointly prepared by the Digital Finance Research Center of Peking University and Ant Technology Group to test the impact of digital inclusive finance on family entrepreneurship.The results show that:(1)Digital inclusive finance has a significant positive impact on households’ choice of entrepreneurship.The use of transaction media promotes the choice of family entrepreneurship.Digital financial services of digital inclusive finance greatly facilitate capital exchanges,save transaction time and reduce transaction costs of the whole society.(2)Credit demand plays a moderating role in the impact of digital inclusive finance on family entrepreneurship.The consumption demand of consumers will cause changes in the proportion of consumption expenditure.When the consumption structure is stable,it will naturally promote and realize scientific and technological innovation and progress,coordinated economic development,upgrading of industrial structure and green ecological balance.(3)The impact of digital inclusive finance on entrepreneurship of families of different ages,urban and rural families,as well as different regions in the east,central and western regions is different.Heterogeneity analysis shows that households with 35-60 years old heads of households are at the peak of entrepreneurship,and digital inclusive finance has the greatest impact on households’ choice of entrepreneurship.Compared with urban households,digital inclusive finance has a more obvious impact on rural households’ entrepreneurial activities.The impact of households in the eastern region choosing to start their own businesses is greater than that of households in the central and western regions.Based on the above empirical results,this paper puts forward the following suggestions: First,accelerate the development of digital inclusive finance.The development of digital inclusive finance will significantly promote Chinese families to choose entrepreneurship,so the achievement of mass entrepreneurship and innovation cannot be separated from the development of digital inclusive finance.For example,we can combine digital inclusive finance with agriculture by building a digital agriculture scenario,so that digital inclusive finance can run through all aspects of the agricultural production process.It is also possible to build digital inclusive financial products suitable for the elderly,which can enable the elderly to use the elderly to meet their own business needs.Secondly,we will further strengthen the resource preference for remote areas to accelerate the development of digital inclusive finance and bridge the digital divide.At present,China’s urban and rural,regional economic development is relatively uneven,the digital financial gap between different regions has a trend to expand,and the development of digital inclusive finance has a more significant role in promoting rural households.Therefore,we should attach importance to digital inclusive finance,develop backward regions,invest more financial resources in the central and western regions,reduce the use cost of financial products and services and other resources in backward regions,so as to improve their entrepreneurial willingness,.This will not only promote the healthy development of China’s finance,but also reduce the digital gap between regions,so that more people can enjoy the products and services brought by digital inclusive finance.Third,for family investors,they need to take the initiative to learn financial knowledge and improve their ability to identify and prevent risks.This study found that the higher the level of education,the stronger the ability of rational risk identification and financial professional ability,and more able to make rational decisions.Therefore,for families,if they want to do a good job in family asset planning,they should fully understand all kinds of financial knowledge and disperse risks.Through the study of relevant financial knowledge,we can understand risks more rationally,allocate the proportion of financial assets in household assets more effectively and rationally,and truly enjoy the dividends brought by digital inclusive finance.