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Digital village, inclusive finance, and consumption upgrading in rural areas

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  • Ren, Jingjing
  • Wu, Bo

Abstract

This study systematically explores how digital rural construction influences rural consumption upgrading and its regional differences, drawing on micro - data from the China Family Panel Studies (CFPS) spanning 2012 - 2020 and the quasi - natural experiment of rural e - commerce demonstration policies. The results show that digital rural development notably drives rural consumption structure upgrading, with inclusive finance development being the key transmission channel. Heterogeneity analysis indicates that families with low education levels have a much higher elasticity of consumption upgrading than those with medium and high education levels. Additionally, the policy impact is far stronger in central and western regions than in the eastern region.

Suggested Citation

  • Ren, Jingjing & Wu, Bo, 2025. "Digital village, inclusive finance, and consumption upgrading in rural areas," Finance Research Letters, Elsevier, vol. 85(PD).
    • Handle: RePEc:eee:finlet:v:85:y:2025:i:pd:s1544612325014862
    DOI: 10.1016/j.frl.2025.108231
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    References listed on IDEAS

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    1. Jianping Cha & Yashan Deng & Kai Zhao & Feifei Li, 2026. "How Does the Development of the Digital Economy Enhance Farmers' Livelihood Resilience: The Roles of E‐Commerce and Digital Finance," Sustainable Development, John Wiley & Sons, Ltd., vol. 34(2), pages 2342-2358, April.
    2. Chen, Yiru & Liu, Li & Zheng, Sufang, 2025. "Impact of digital financial inclusion on rural revitalization," Finance Research Letters, Elsevier, vol. 85(PC).

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