Impacts of policy-related agricultural insurance on farmers’ earnings in China's major grain-producing regions

•This paper finds that policy-related agricultural insurance promotes farmers’ income level.•The three mediating variables are positively moderated.•This paper has three channels to increase farmers’ income. Policy-related agricultural insurance can diversify farming risks and compensate damaged far...

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Published in:Finance research letters 2024-11, Vol.69, p.106189, Article 106189
Main Authors: Gu, Lili, Liu, Yuchen, Liu, Fang, Dong, Xintong, Dong, Yuling
Format: Article
Language:English
Subjects:
China's major grain-producing regions
Farmers’ earnings
Fixed effects model
Policy-related agricultural insurance
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creator Gu, Lili
Liu, Yuchen
Liu, Fang
Dong, Xintong
Dong, Yuling
description •This paper finds that policy-related agricultural insurance promotes farmers’ income level.•The three mediating variables are positively moderated.•This paper has three channels to increase farmers’ income. Policy-related agricultural insurance can diversify farming risks and compensate damaged farmers’ losses. This study examined the impact of policy-related agricultural insurance on farmers’ earnings in China's primary grain-producing regions. The findings indicate that policy-related agricultural insurance significantly improved farmers’ earnings. Agricultural operational scale, technological advancements, and agricultural credit played an intermediary role in policy-related agricultural insurance on farmers’ earnings. This study provides suggestions including increasing support, guiding the modernization and transformation of policy-related agricultural insurance, promoting coordinated development of agricultural insurance and agricultural credit in order to promote the high-quality development of policy-based agricultural insurance and improve farmers' income.
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subjects China's major grain-producing regions
Farmers’ earnings
Fixed effects model
Policy-related agricultural insurance
title Impacts of policy-related agricultural insurance on farmers’ earnings in China's major grain-producing regions
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