Empirical study on the influence of rural finance on rural resident consumption:Based on 1980-2010 time series data of Zhejiang rural credit cooperatives

Empirical study is made on rual credit cooperatives’ financial support on rural areas and rural resident consumption by using Zhejiang’s time series data from 1980 to 2010.The result shows that long-term co-integration relationship exists between the scale,efficiency and structure of rural financial support and rural resident consumption,among which,financial scale is negatively correlated with rural resident consumption,while financial efficiency and structure are positively correlated with rural resident consumption,and furthermore,financial structure accounts for most of rural resident consumption growth.Therefore,in order to motivate rural consumption potential,coordinating rural financial structure and agricultural production structure optimization,innovating small rural loan products,deepening RCC’s marketization reform,and developing the joint support force with other rural financial institutions.