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Internet Embedding, Credit Availability and Rural Households’ Entrepreneurship——Empirical Analysis Based on Mediating Effect

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DOI: 10.23977/csic2022.027

Author(s)

Xing Chufang

Corresponding Author

Xing Chufang

ABSTRACT

Promoting family entrepreneurship in rural areas is an important driving force to promote the development of agriculture, rural areas and farmers. How to help rural entrepreneurs obtain key resources and enhance entrepreneurship and innovation ability is an important theoretical and practical issue that needs to be paid attention to at present. Based on the micro survey data of Chinese Household Finance (CHFS) from Southwestern University of Finance and Economics in 2017, this paper empirically analyzes the relationship and mechanism of Internet embedding affecting rural household entrepreneurship through credit availability by using the mediation effect model and instrumental variables, and draws the following conclusions: (1) It is found that Internet use has a significant positive impact on rural households' entrepreneurial decisions through fundamental regression and instrumental variables. (2) Credit availability plays a mediating role in the impact of Internet use on rural household entrepreneurship. (3) Entrepreneurial performance was used for robustness test. In addition, the policy enlightenment of increasing public Internet resources, giving full play to the promotion function of the Internet to finance, improving the demonstration and guiding role of the Internet in entrepreneurship.

KEYWORDS

Internet Embedding, Access to Credit, Rural Family Entrepreneurship, Entrepreneurial Performance

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