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Spatial Spillover Effect and Threshold Effect of Digital Financial Inclusion on Farmers’ Income Growth—Based on Provincial Data of China

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  • Yanling Li

    (School of Economics and Statistics, Guangzhou University, Guangzhou 510006, China)

  • Mengxin Wang

    (Guangzhou Institute of International Finance, Guangzhou University, Guangzhou 510006, China)

  • Gaoke Liao

    (Guangzhou Institute of International Finance, Guangzhou University, Guangzhou 510006, China)

  • Junxia Wang

    (School of Economics and Statistics, Guangzhou University, Guangzhou 510006, China)

Abstract

The effect of digital financial inclusion on farmers’ income growth is worth theoretical discussion and empirical testing. Based on the sample data of 30 provinces in the Chinese mainland from 2011 to 2019, this paper adopted the spatial Durbin model and the panel threshold model to empirically study the impact of digital financial inclusion on the growth of farmers’ income; furthermore, the heterogeneity of the impact was studied in terms of the difference of provincial economic development level. The results showed that: first, digital financial inclusion can significantly promote farmers’ income growth; second, digital financial inclusion has a positive spatial spillover effect on farmers’ income growth; third, the impact of digital financial inclusion on farmers’ income growth has a double threshold effect: farmers’ income growth increases with the development of digital financial inclusion; and fourth, the impact of digital financial inclusion on farmers’ income growth is heterogeneous in terms of provincial economic development level.

Suggested Citation

  • Yanling Li & Mengxin Wang & Gaoke Liao & Junxia Wang, 2022. "Spatial Spillover Effect and Threshold Effect of Digital Financial Inclusion on Farmers’ Income Growth—Based on Provincial Data of China," Sustainability, MDPI, vol. 14(3), pages 1-16, February.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:3:p:1838-:d:742768
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    Cited by:

    1. Hua Zhang & Ying Li & Hanxiaoxue Sun & Xiaohui Wang, 2023. "How Can Digital Financial Inclusion Promote High-Quality Agricultural Development? The Multiple-Mediation Model Research," IJERPH, MDPI, vol. 20(4), pages 1-19, February.
    2. Lian, Xu & Mu, Yueying & Zhang, Wenyu, 2023. "Digital inclusive financial services and rural income: Evidence from China's major grain-producing regions," Finance Research Letters, Elsevier, vol. 53(C).
    3. Lee, Chien-Chiang & Lou, Runchi & Wang, Fuhao, 2023. "Digital financial inclusion and poverty alleviation: Evidence from the sustainable development of China," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 418-434.
    4. Hua Zhang & Qiwang Zhang & Man An & Zixuan Zhang & Nanqiao He, 2023. "Unveiling the Impact of Digital Financial Inclusion on Low-Carbon Green Utilization of Farmland: The Roles of Farmland Transfer and Management Scale," Sustainability, MDPI, vol. 15(4), pages 1-20, February.

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