The Impact Of Digital Financial Inclusion On Multidimensional Relative Poverty

The problem of poverty governance is one of the severe challenges facing the development of the world today.In 2020,China successfully eliminated absolute poverty,the phenomenon of imbalanced development and inadequate development is still prominent,and the relative poverty that has become the focus of anti-poverty cause in the process of promoting common prosperity.Multidimenity is a prominent characteristic of relatively poverty,which has caused the difficulty and time consumption of relative poverty governance.Digital inclusive finance can remove geographical and time barriers to better provide financial products and services,increase the accessability of digital financial services,continuously reduce transaction costs.Alleviate poverty among groups caused by unreasonable allocation of financial resources.Therefore,in the current context of accelerating the development of the digital economy and striving to achieve the goal of common prosperity,researching the impact of digital inclusive financial development on alleviating the multi-dimensional relative poverty of residents is conducive to improving the development level of digital inclusive finance in China and establishing a multi-dimensional relative poverty governance system.Based on this,this paper uses 2019 Chinese household finance survey data for empirical analysis,and verifies the influencing mechanism.First of all,this paper reviews relevant literature at home and abroad to explore the measurement methods and relationships between digital inclusive finance and multidimensional relative poverty.Then,the micro digital financial inclusion index system and multidimensional relative poverty index system are constructed and the index analysis is conducted.On the basis of the results of the measured digital financial inclusion index and multidimensional relative poverty index,the causal relationship between them and the different dimensions is analyzed empirically,and the robustness test and endogeneity discussion are conducted to verify the robustness of the empirical results.In addition,the regional and rural-urban heterogeneity effects of digital financial inclusion on poverty reduction are analyzed.Finally,this paper discusses the mediating effect between entrepreneurial activities and social capital,and clarifies the mechanism of digital financial inclusion in alleviating multidimensional relative poverty of residents.There are four main conclusions in this paper:(1)The level of digital inclusive finance is distinctive in urban and rural areas as well as among different regions in China,which are more in eastern regions than in western regions and more in urban areas than in rural areas.(2)The multidimensional relative poverty level and sources of residents differ significantly between urban and rural areas.The multidimensional relative poverty level of residents in rural areas is higher,and the sources are different among urban and rural residents.(3)The development of digital inclusive finance can alleviate the multidimensional relative poverty of residents,among which the depth of use has the most obvious effect.In different dimensions,regions and between urban and rural residents,the development of digital inclusive finance has significantly weakened the multidimensional relative poverty of residents,but there is heterogeneity.(4)Digital inclusive finance alleviates multidimensional relative poverty through the increase of resident entrepreneurship and the accumulation of social capital,and the mediating effect of social capital path is more prominent.Based on the above conclusions,this paper lists the corresponding suggestions:First,we should actively promote the construction of digital inclusive financial service system to incline more resources to the central and western regions and rural areas,popularize financial knowledge in an all-round and multi-channel way,and improve residents’ financial literacy and cognition.Second,we should develop rural industries in light of local conditions,increase basic education service facilities,improve the provision of young teachers,and improve the economic and social development ability and living standards of rural residents.Third,given the multi-dimensional relative poverty alleviation effect and heterogeneity of digital financial inclusion,digital technologies should be used to provide more differentiated financial services and products to residents and increase their property income.Fourth,we should vigorously promote the mobile software platform that integrates entrepreneurship and social communication,ensure the precise placement of entrepreneurial support resources,and expand the channels of social communication.