Alienation of Rural Cooperative Finance and the Innovation of Financial Organization in China

Based on the elaboration of the content and status of rural cooperative finance, rural cooperative finance--the alienation of rural credit cooperative is introduced from three aspects of the concept and objective of management, the organizational form and management mode, and the service object and business scope. Causes of alienation are analyzed. Firstly, change in the economic foundation of cooperative finance is the fundamental reasons for the alienation. Secondly, mandatory system change led by the government is an important reason for alienation. Thirdly, property and administration structure of rural credit cooperative are the internal reasons for alienation of agricultural support. To achieve the innovation of rural cooperative financial organization, the following aspects should be done: cultivating the basis for rural cooperative economy, further promoting the reform of rural credit cooperatives (innovating a variety of property rights modes; making clear definition of ownership; implementing the internal governance structure), introducing competition in the field of rural cooperative finance, and homing function of government and rural cooperative finance.

The analysis of the rural cooperative finance characteristic

The paper set off from the nature characteristics of rural cooperation finance, analyzing the finance cooperation in our rural areas. It points out that the supporting strength is difficult to maintain the need of simple reproduction, disturbing the consistence between the intense need of the important peasant household and the market-oriented development of enterprise produce What is more, and functional cultivating becomes reverse circulation, forming shoulders adjustment mechanism in the majority of our rural areas. In the long run, if we want to break the influence of the long-term effect of dual economy between urban and rural areas, plan the development of urban and rural as a whole, build socialism new rural area, the key is to comply with the principle ＂root in rural area, originally in the peasant, quality in cooperation ＂, build and perfect the serve system of rural cooperation finance.

Empirical analysis of the farmer's behavior under the new rural financial cooperatives in China

It's been well recognized for the big role played by innovative rural cooperative financial organizations in terms of spreading farmers' operation risk,increasing farmers' income,and developing rural economy.However,no sufficient research has been conducted regarding those factors which may have effects on the farmer's willingness to participate in the new rural financial organization.This paper tries to fill out the gap of identifying various factors which may have potential influence on the farmer's willingness to participate in the new type of rural financial cooperatives.In the process,442 farmer households and small-micro-enterprises are sampled from the cooperative finance experiment villages in Panjin municipality of Liaoning province.The potential influencing factors are classified into four categories,including the famer household's characteristics,financial cooperative reputation,transaction costs,and service quality.A discrete Logit model is used for the parameter estimations.The results show that most assumed factors display statistical significance effect on the farmer's willingness to take part in the rural cooperative financing organizations but with different level of sensitivity.The cause and effect are fully discussed following by addressing policy issues related to the rural financing cooperative reforms.