The influence of rural financial development on economic growth level

Abstract

The rural industrial foundation in western China, such as Guizhou Province, is relatively weak, and the same to infrastructure and finance development. Based on the panel data of 2021 cities in Guizhou Province from 2001 to 2021, this paper quantitatively analyzes the impact of rural financial development on the level of rural economic growth by establishing a multi-linear regression model and use the scale of financial development and financial development efficiency of two dimensions of the relevant variables to characterize and measure the rural financial development. Through the empirical test, Guizhou province’s financial development scale and financial development efficiency have a positive impact on rural economic growth. Expanding the scale of rural finance, improving the efficiency of rural finance and increasing the investment of rural capital are beneficial to increasing rural financial resources, improving the efficiency of management, increasing the income of farmers and promoting the growth of rural economy.