Chain Financing Mode and the Effects of Precision Poverty Alleviation: Empirical Study Based on Quasi Experiment

Shen Yun; Peng Xiaobing

doi:doi:10.16538/j.cnki.jfe.2016.09.001

Abstract

Based on a quasi experiment of chain financing of farmers in Sichuan,Chongqing and Jiangxi in 2013 and 2015,and two-stage panel data of large sample farmer households,this paper uses difference-in-difference method and double difference matching method based on propensity scores to make a systematically empirical study of the poverty reduction effect between poor and non-poor households under the chain financing mode. It arrives at the results as follows: firstly,the role of industry chain financing in poverty reduction effect is sound overall; the proportion of poor households participating in industrial poverty alleviation is higher than the one of non-poor households,and the poverty reduction effect from chain financing also shows a phenomenon of diminishing marginal returns; secondly,compared to direct financing from financial institutions,the poverty reduction effect of chain financing based on industrial poverty alleviation is better; among them,the mode from credit of financial institutions to leading enterprises (industry support) and then to farmers and the mode from financial institutions to professional cooperatives (service industry) and then to farmers have significant poverty reduction effects on poor and non-poor households; the mode from rural mutual financial cooperative to farmers has a significant poverty reduction effect on non-poor households,while the mode from commercial financial institutions to farmers does not have significant poverty reduction effects on poor and non-poor households.