The Impact of Regional Digital Finance Development on Farmers' Income - Based on Panel Data from Southeast Chongqing

Abstract

In recent years, the rapid advancement of digital inclusive finance in China has presented significant opportunities to bolster the growth of farmers' incomes. This study leverages county-level panel data from the southeastern region of Chongqing between 2014 and 2016, employing the Peking University Digital Inclusive Finance Index, benchmark regression models, mediation effect models, and moderation effect models to investigate the impact of digital inclusive finance development on farmers' income. The analysis also examines the specific roles of county-level industrial structure and government support in this influencing process. The research findings indicate that the development of digital inclusive finance has a substantial positive effect on increasing the incomes of farmers in the southeastern Chongqing region. Furthermore, the upgrading of industrial structure plays a mediating role in the process through which digital inclusive finance drives the growth of farmers' incomes. However, government intervention was found to weaken the impact of digital inclusive finance on the growth of farmers' incomes.