2007Unpublished venueRequires access

Analysis of Economic Fundamentals on the Development of China's Rural Finance

LI Ming-xian

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Abstract

According to the study on the relationship between financial development and economic growth, domestic and foreign scholars have all focused on the financial development on the supporting and facilitating role of economic growth, but neglect the decisive role of economic conditions on the level of financial development. This paper uses four indicators which are used by the development of rural economy levels, rural industrial structure, rural degree of economic boom and the degree of market-oriented rural economy to measure the economic development of rural areas, thus it uses rural financial scale, rural financial structure and rural financial function to measure the situation of China's rural financial development, empirical analyzes the decisive role of the development of the rural economy on the development of the rural financial development, suggests some relevant recommendations on enhancing economic fundamentals on the development of China's rural finance.

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What this paper is about

According to the study on the relationship between financial development and economic growth, domestic and foreign scholars have all focused on the financial development on the supporting and facilitating role of economic growth, but neglect the decisive role of economic conditions on the level of financial development. This paper uses four indicators which are used by the development of rural economy levels, rural industrial structure, rural degree of economic boom and the degree of market-oriented rural economy to measure the economic development of rural areas, thus it uses rural financial scale, rural financial structure and rural financial function to measure the situation of China's rural financial development, empirical analyzes the decisive role of the development of the rural economy on the development of the rural financial development, suggests some relevant recommendations on enhancing economic fundamentals on the development of China's rural finance.

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Available abstract

According to the study on the relationship between financial development and economic growth, domestic and foreign scholars have all focused on the financial development on the supporting and facilitating role of economic growth, but neglect the decisive role of economic conditions on the level of financial development. This paper uses four indicators which are used by the development of rural economy levels, rural industrial structure, rural degree of economic boom and the degree of market-oriented rural economy to measure the economic development of rural areas, thus it uses rural financial scale, rural financial structure and rural financial function to measure the situation of China's rural financial development, empirical analyzes the decisive role of the development of the rural economy on the development of the rural financial development, suggests some relevant recommendations on enhancing economic fundamentals on the development of China's rural finance.

Key concepts: Rural economics, China, Boom, Economics, Rural economy, Rural area, Economic growth, Finance

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