The Impact of Digital Economy on Farmers’ Income——A Mechanism Analysis Based on Farmers’ Credit

In the context of digital China, the digital economy has become an important engine of China’s economic growth. In combination with the rural revitalization policy proposed in the No. 1 central document of the Central Committee, it is imperative to use the digital economy to drive rural development. This paper theoretically combs the relationship between digital inclusive finance, farmers’ credit and farmers’ income increase. On this basis, based on the provincial panel data from 2011 to 2020, constructs a mediating effect model, the impact of the development of digital inclusive finance in the digital economy on farmers’ income and the basic transmission mechanism are empirically analyzed. The results show that: (1) The development of digital economy can promote the increase of farmers’ income (2) In terms of impact mechanism, digital inclusive finance can increase farmers’ income by alleviating farmers’ credit constraints. After various robustness tests and elimination of two-way causality, the conclusion of this paper still holds.