Abstract Based on the micro survey data of 1159 farmers in Shaanxi and Shandong provinces, and on the basis of theoretical analysis, this paper tests the mechanism and effect of the agricultural industry chain on farmers 'credit rationing through Probit model and intermediary effect model. The study found that participating in the agricultural industry chain significantly alleviated farmers’ supply-based quantity rationing, demand-based price rationing, risk rationing and transaction cost rationing. After handling endogenous problems through robustness test and instrumental variable method, the conclusion is still valid. Mechanism test shows that participation in the agricultural industry chain can enhance farmers’ collateral capacity through agricultural orders, guarantee measures, and agricultural insurance, thereby alleviating quantitative rationing. It can increase farmers’ agricultural business income by increasing agricultural revenue, reducing production costs, and improving product quality, thus alleviating price rationing. It can reduce farmers’ agricultural business risks by decreasing production risks, market risks, and natural risks, thereby alleviating risk rationing. Furthermore, it can lower farmers’ credit transaction costs by reducing loan procedures, approval times, and post-loan inspections, thus alleviating transaction cost rationing. The impact of the agricultural industry chain on credit rationing for farmers of different scales shows variations: the agricultural industry chain has a significant negative effect on the quantitative rationing for large-scale farmers, while its impact on the quantitative rationing for small-scale farmers is not significant. It has a significant negative effect on various demand-oriented credit rationing for small-scale farmers, and its alleviating effect on demand-oriented credit rationing for large-scale farmers is only evident in transaction cost rationing. Therefore, strengthening the mechanisms for interest linkage and information sharing within the agricultural industry chain, and improving the functions of credit collateral and guarantees, are important strategic choices for enhancing rural revitalization financial services in the new era.
ZHAO Nan,WANG Jing,LYU Dehong. A Study on the Impact and Mechanism of Participation in the Agricultural Industry Chain on the Credit Rationing of Farmers. Economic Survey, 2024, 41(5): 065.
2024, Vol. 41 
