Impact of Fiscal Expenditure on Farmers’ Livelihood Capital in the Ethnic Minority Mountainous Region of Sichuan, China

Shili Guo, Beibei Wang, Kui Zhou, Hui Wang, Qiuping Zeng and Dingde Xu
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Shili Guo: School of Economics, Southwestern University of Finance and Economics, Chengdu 611130, China
Beibei Wang: China Western Economic Research Institute, Southwestern University of Finance and Economics, Chengdu 611130, China
Kui Zhou: School of Economics, Southwestern University of Finance and Economics, Chengdu 611130, China
Hui Wang: China Western Economic Research Institute, Southwestern University of Finance and Economics, Chengdu 611130, China
Qiuping Zeng: China Western Economic Research Institute, Southwestern University of Finance and Economics, Chengdu 611130, China
Dingde Xu: Sichuan Center for Rural Development Research, Sichuan Agricultural University, Chengdu 611130, China

Agriculture, 2022, vol. 12, issue 6, 1-21

Abstract: Poverty alleviation is the first battle to realize the rural revitalization strategy in China, and research on the sustainable livelihood of rural households is of great significance to solving the problem of rural poverty. Based on the sustainable livelihood framework, the reasonable scale and structure of fiscal expenditure is an inevitable requirement in producing sustainable livelihood capital toward this aim. In this study, the system Gaussian mixed model was used to analyze the impact of fiscal expenditure on farmers’ livelihoods. Representative survey data uses panel data from 48 counties across Liangshan Prefecture, Ganzi Prefecture, and Aba Prefecture in Sichuan, China. The results are as follows: (1) The average stock of human capital in 2010 to 2015 was the highest in the composition of farmers’ livelihood capital; (2) natural capital and physical capital were positively affected by the total scale of fiscal expenditure, agriculture, forestry, and water expenditure, and the former was negatively affected by general public service expenditure, education expenditure, social security and employment expenditure, and medical expenditure; (3) financial capital and the total amount of livelihood capital were positively affected by the total scale of fiscal expenditure, agriculture, forestry and water expenditure, education expenditure, social security and employment expenditure, and medical expenditure, and negatively affected by general public service expenditure; (4) human capital was positively affected by the total scale of fiscal expenditure, education expenditure, social security and employment expenditure, and medical expenditure; and (5) social capital was positively affected by agriculture, forestry and water expenditure, and education expenditure.

Keywords: sustainable livelihood; fiscal expenditure; ethnic minority mountainous region; system gaussian mixed model (search for similar items in EconPapers)
JEL-codes: Q1 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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