Research On The Impact Of Inclusive Finance Development On Urban-rural Income Gap In Hebei Province

Hebei province,surrounded by the capital Beijing and adjacent to Tianjin,is an essential part of the united development of The Beijing-Tianjin-Hebei region.Despite its good economic development in recent years,there are still many obstacles and challenges in economic operation,such as the large gap between urban and rural areas,difficulties in the development of the real economy,and unbalanced regional development.Inclusive finance plays an important role in alleviating the income gap between urban and rural areas,optimizing the financial environment of the real economy and promoting the coordinated development of various regions.Therefore,from the perspective of inclusive finance,it is of great significance for the economic and social development of Hebei province to construct an evaluation index system to measure the development level of inclusive finance in Hebei Province and analyze the impact of the development of inclusive finance on the urban-rural income gap.After combing the relevant domestic and foreign professor,this paper first expounds the basic concepts and relevant theories of Inclusive Finance,and analyzes the mechanism between Inclusive Finance and urban-rural income gap.Secondly,it introduces the development of Inclusive Finance in Hebei Province,selects relevant indicators that can reflect its development level,constructs an evaluation index system from the two dimensions of financial service permeability and usability,and calculates the inclusive financial development comprehensive index,financial service permeability index and financial service usability index of 11 prefecture level cities respectively.Then,based on the panel data of 11 prefecture level cities in Hebei Province from 2011 to 2020,the fixed effect model is used to analyze the influence of inclusive financial growth index on the earning gap.Finally,starting from the conclusion,combined with the actual situation of Hebei Province,this paper puts forward countermeasures and suggestions to narrow the urban-rural income gap in Hebei Province.The research results show that the earning gap between civic and country region in Hebei Province is still large and has declined slowly in recent years,while the development level of inclusive finance has been continuously improved,but the differences among the 11 prefecturelevel cities are large.The model results show that the elevation of the progress level of inclusive finance in Hebei Province has reduced the urban-rural income gap,and compared with the penetration dimension of financial services,the use of financial services has a more vital effect on decreasing the civic and country earing gap.According to the study,this paper puts forward countermeasures and suggestions to promote the business and product innovation of financial institutions,promote the utilization rate of financial services;strengthen the construction of rural inclusive finance,improve the financial knowledge reserves of residents;improve the operating environment of inclusive finance,and optimize the quality of financial services.