# Research on the Intelligent Development of Rural Financial Supply Chain under the Background of Internet of Things

Authors: Xiang Sui
Journal: Mobile Information Systems
 (2022)

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## Abstract

China is a large agricultural country, but the family-based business model restricts agricultural production, resulting in the relatively backward intellectualization of agriculture. With the development of new science and technology, the application of Internet of Things technology in agricultural production can intelligently manage and monitor the production, processing, transportation, and sales of agricultural products at any time, improve product quality, safety, and production efficiency, increase economic income, and guide the support of agricultural supply chain financial services to agricultural production. In order to explore the role of agricultural supply chain financial services in agricultural development and the application of Internet of Things technology in agricultural production, this paper constructs a model and finds that the effective use of agricultural supply chain financial services is conducive to the development of agriculture and provides convenience for the realization of agricultural diversification and intelligent construction.


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## Body

## 1. Introduction

China has a population of 1.4 billion. One billion people are farmers who live on land, while arable land accounts for only one tenth of the land area [1]. In the past long history, how to solve the problem of diet has been the main livelihood problem that puzzles people. After the acceleration of urbanization, the population concentrated in the city to work, live, and live, resulting in the desolation of many villages. Large tracts of land were unmanaged, or only the older people cultivated the land with simple mechanization, resulting in a large waste of land. The change of population structure changes agricultural development. The loss of rural population makes a large number of land idle and poorly managed, which is not conducive to agricultural development. At the same time, it also brings opportunities and challenges for agricultural transformation [2]. With the popularization of mechanization and the development of the Internet of Things, agricultural development began to take the road of scientific planting, use high and new technology for agricultural management and management, realize the intelligent management and development of agricultural production, improve the quality and safety of agricultural production, and monitor the breeding process of agricultural product, so as to control the breeding efficiency.The support of national agriculture policy provided a new development model for China’s rural industry. China is a large agricultural country. The land contract responsibility system with the family as the unit has been implemented for more than 30 years. However, due to the rapid development of China’s economy in recent years, rural surplus labor offices have flocked to cities to participate in infrastructure construction, driving some people to become rich first and also affecting the cultivation of rural land. In this case, the mode of agricultural production and operation is quietly changing. The new mode of breeding and scientific development of agriculture has been piloted in many places and achieved certain results. At the same time, the development of new agriculture is inseparable from the support of agricultural supply chain finance. Although supported by national policies, agricultural development has just started, and there are still many problems to be explored, which will bring certain risks to the implementation of agricultural development. The promotion of big data and Internet technology in agricultural production and supply should be strengthened [3]. After the reform and opening up, China’s economic level has developed rapidly, and the mechanization of agricultural production has gradually developed to intelligence, driving the new transformation of new agriculture. The emergence of agricultural supply chain finance has solved the dilemma of family unit financing. It discusses the main products, participants, and agricultural supply chain in the supply chain and puts forward that improving the management ability of managers, increasing the support of financial institutions to agricultural supply chain, and improving the ecosystem construction of agricultural supply chain will contribute to China’s agricultural modernization [4].With the development of science and technology, agriculture is no longer produced according to the past model. High and new technologies of the Internet of Things are applied to the monitoring process of aquaculture to improve food quality, safety, and economic benefits [5]. Agriculture supply chain refers to the activities generated in the process of agricultural production, sales, and consumption. These activities include the procurement, production process, sales, transportation, and processing of agricultural means of production. Those who participate in these links are called participants and are the main body in the financing process of the supply chain [6]. Some commercial banks have carried out agricultural supply chain financial services to provide financial services for participants engaged in agricultural production, sales, transportation, processing, and other aspects. Due to their relatively weak operating capacity and no asset mortgage, these participants have brought certain difficulties and risks to financing. In order to alleviate the financing difficulties of agricultural enterprises, this study analyzes the smart countryside and agricultural supply chain and constructs agricultural supply chain financial services for the improvement of new agriculture, new countryside, and new farmers, so as to improve the construction of agricultural modernization.


## 2. Theoretical Background and Literature Review

### 2.1. Agricultural Internet of Things and Smart Countryside

The Internet of Things is the product of the integration of science and technology and computer technology. It is not a physically independent existence. It is necessary to connect relevant instruments and equipment with the help of Internet platform to realize the application functions of intelligent identification, positioning, tracking, monitoring, and so on. It has the functions of image recognition, information transmission, and data calculation and can realize information sharing between people. Its application can optimize resources, strengthen industrial operation and management, solve the work that cannot be completed manually, reduce the error caused by manual operation, and improve efficiency [7].Smart countryside is mainly reflected in four aspects: intelligent agriculture, intelligent rural power grid, intelligent rural transportation, and intelligent rural residence [8]. The emergence of the Internet makes life more convenient and has higher requirements for production and services. The construction of intellectualization has narrowed the distance between rural areas and cities, not only improved the comfort but also led to the intellectualization of agricultural production. The emergence of the Internet of Things enables more refined management of agricultural production and provides basis for agricultural production environment monitoring, greenhouse planting monitoring, water conservancy and irrigation, meteorological tracking, product quality, and safety detection [9]. Under the guidance of agriculture related policies, new types of agricultural production and management entities have gradually formed in China, and the development of agricultural supply chain has made good achievements. At the same time, the development and utilization of Internet, big data, and other technologies also continue to promote its development process [10]. It can effectively master the information of crops and cultivated agricultural products, monitor the impact of the environment on the production of crops and cultivated agricultural products, control temperature and humidity, and provide favorable conditions for the growth of crops and cultivated agricultural products. At the same time, it can also remotely monitor the production process of agricultural and cultivated agricultural products and scientifically manage diseases and pests, weeds, and growth conditions. In addition, we can use big data to analyze the meteorological conditions, use cloud computing technology to simulate and calculate the relevant information, and obtain the best growth environment and management of agricultural products suitable for crops and breeding. With the help of scientific and technological means, intelligent development of agriculture is a means to break the traditional agriculture [11].Using intelligent means to develop agriculture, increase agricultural economic income, and narrow the distance between rural areas and cities not only depends on the support of national policies but also needs to apply these policies to practice. Agricultural supply chain financial services provide financial support for agricultural enterprises and individuals, which are conducive to the operation and management in the process of agricultural production and improve food quality, safety, and production efficiency.


### 2.2. Agricultural Supply Chain Finance

Agricultural production resources form a complete agricultural industrial chain from the aspects of purchase, production, processing, transportation, and sales terminals. When the participants in each link need financial support, they will put forward loans to the financial industry, and the financial loans can cover the whole agricultural industrial chain. The development of agricultural industrial chain is a relatively important part of promoting the development of agricultural economy. The development of agriculture is inseparable from the support technology of policies and funds. Many financial institutions and platforms have carried out relevant businesses to facilitate agricultural development. The favorable documents on “agriculture, rural areas, and farmers” in 2019 provide a basis for the development of agricultural products, make financial services run through the whole agricultural industrial chain, establish an effective incentive mechanism for agricultural loans, reduce the threshold of agricultural loans, and strengthen the support of financial institutions for agricultural loans. In the past few years, financial institutions have increased their support for agricultural loans year by year, as shown in Figure1.Figure 1
Distribution of agricultural-related loans of financial institutions from 2014 to 2018. Note: the amount unit is trillion.In Figure1, it can be seen that agriculture-related loans are increasing year by year, indicating that China’s agricultural development is slowly opening up a new situation under the guidance of national policies. Moreover, the amount of enterprise loans is higher than that of individual loans, indicating that agriculture-related loans are still dominated by enterprises. The scale of individuals is engaged in agricultural development is relatively small, and the funds needed are relatively small.


## 2.1. Agricultural Internet of Things and Smart Countryside

The Internet of Things is the product of the integration of science and technology and computer technology. It is not a physically independent existence. It is necessary to connect relevant instruments and equipment with the help of Internet platform to realize the application functions of intelligent identification, positioning, tracking, monitoring, and so on. It has the functions of image recognition, information transmission, and data calculation and can realize information sharing between people. Its application can optimize resources, strengthen industrial operation and management, solve the work that cannot be completed manually, reduce the error caused by manual operation, and improve efficiency [7].Smart countryside is mainly reflected in four aspects: intelligent agriculture, intelligent rural power grid, intelligent rural transportation, and intelligent rural residence [8]. The emergence of the Internet makes life more convenient and has higher requirements for production and services. The construction of intellectualization has narrowed the distance between rural areas and cities, not only improved the comfort but also led to the intellectualization of agricultural production. The emergence of the Internet of Things enables more refined management of agricultural production and provides basis for agricultural production environment monitoring, greenhouse planting monitoring, water conservancy and irrigation, meteorological tracking, product quality, and safety detection [9]. Under the guidance of agriculture related policies, new types of agricultural production and management entities have gradually formed in China, and the development of agricultural supply chain has made good achievements. At the same time, the development and utilization of Internet, big data, and other technologies also continue to promote its development process [10]. It can effectively master the information of crops and cultivated agricultural products, monitor the impact of the environment on the production of crops and cultivated agricultural products, control temperature and humidity, and provide favorable conditions for the growth of crops and cultivated agricultural products. At the same time, it can also remotely monitor the production process of agricultural and cultivated agricultural products and scientifically manage diseases and pests, weeds, and growth conditions. In addition, we can use big data to analyze the meteorological conditions, use cloud computing technology to simulate and calculate the relevant information, and obtain the best growth environment and management of agricultural products suitable for crops and breeding. With the help of scientific and technological means, intelligent development of agriculture is a means to break the traditional agriculture [11].Using intelligent means to develop agriculture, increase agricultural economic income, and narrow the distance between rural areas and cities not only depends on the support of national policies but also needs to apply these policies to practice. Agricultural supply chain financial services provide financial support for agricultural enterprises and individuals, which are conducive to the operation and management in the process of agricultural production and improve food quality, safety, and production efficiency.


## 2.2. Agricultural Supply Chain Finance

Agricultural production resources form a complete agricultural industrial chain from the aspects of purchase, production, processing, transportation, and sales terminals. When the participants in each link need financial support, they will put forward loans to the financial industry, and the financial loans can cover the whole agricultural industrial chain. The development of agricultural industrial chain is a relatively important part of promoting the development of agricultural economy. The development of agriculture is inseparable from the support technology of policies and funds. Many financial institutions and platforms have carried out relevant businesses to facilitate agricultural development. The favorable documents on “agriculture, rural areas, and farmers” in 2019 provide a basis for the development of agricultural products, make financial services run through the whole agricultural industrial chain, establish an effective incentive mechanism for agricultural loans, reduce the threshold of agricultural loans, and strengthen the support of financial institutions for agricultural loans. In the past few years, financial institutions have increased their support for agricultural loans year by year, as shown in Figure1.Figure 1
Distribution of agricultural-related loans of financial institutions from 2014 to 2018. Note: the amount unit is trillion.In Figure1, it can be seen that agriculture-related loans are increasing year by year, indicating that China’s agricultural development is slowly opening up a new situation under the guidance of national policies. Moreover, the amount of enterprise loans is higher than that of individual loans, indicating that agriculture-related loans are still dominated by enterprises. The scale of individuals is engaged in agricultural development is relatively small, and the funds needed are relatively small.


## 3. Empirical Model

### 3.1. Data Sources

All data are based on the official yearbook data of the local bureau of statistics as the core reference data, the work report data of the local government, and the official website data of agriculture, forestry, water conservancy, transportation, and other departments. Part of the data comes from the annual report data disclosed by financial enterprises.The data time range examines the annual data from 2018 to 2021.The geographical scope of the data examines the data of 14 noncapital prefecture level cities (60 districts and counties) from Shandong Province, Zhejiang Province, Guangdong Province, Jilin Province, Heilongjiang Province, Henan Province, and Anhui Province. The data involves a total agricultural population of 13.4 million people, and the median GDP of the districts and counties involved is 24.3% higher than that of all districts and counties in China.


### 3.2. Statistical Methods

Nonlinear curve estimation algorithm:Coefficient of determinationR2(1)R2=∑ixi−x¯∑ixi−x~i,x¯=1n∑i=1nxiAmong them,x¯ is the arithmetic mean of the investigated sample sequence; x~i is the ith regression value in the sequence; xi is the ith input value in the sequence; the number of investigation samples is n.Spearman correlation algorithm(2)ρs=∑i=1NRi−R¯Si−S¯∑i=1NRi−R¯2∑i=1NSI−S¯21/2.Among them,Ri and Si are the grades of the observed values, respectively; R¯ and S¯ are the average grades of variables x and y, respectively; N is the total number of observations;


### 3.3. Statistical Variables

Regional Agricultural Internet of Things investment (variableA): the total investment of Internet of Things facilities in agricultural-related fields such as smart weather, smart water conservancy, soil and water monitoring, atmospheric composition monitoring, smart transportation, and smart logistics set by governments at all levels in the main agricultural production areas under the smart rural system is calculated in yuan/resident agricultural population.Financial balance of regional agricultural supply chain (variableB): the investment balance of regional agricultural supply chain financial products legally recorded is calculated in yuan/resident agricultural population by calculating the ratio with the resident agricultural population in the region.Agricultural growth rate (variableC): this is the ratio of the total GDP generated by agriculture (agriculture, forestry, animal husbandry, and fishery) in the statistical area to the statistical value of the previous year. Among them, only inland aquaculture fisheries are counted, and inland river and lake fishing fisheries and marine fishing fisheries are not counted.Urban-rural income ratio (D variable): this is the ratio of the per capita annual disposable income of regional rural population to the per capita annual disposable income of urban nonpublic residents.It is very necessary to establish a complete agricultural supply chain structure. Only when the structure of agricultural supply chain is relatively stable can it bring higher economic benefits. On this basis, when seeking the services of other financial institutions, we can rely on the complete supply chain of agricultural production and the combination of upstream and downstream customers to realize the integration of interests, participate in market competition, and resist risks. Combined with the application of high technology in agricultural supply chain, it can improve the quality, safety, and productivity of agricultural products and greatly improve its own economic value.


### 3.4. Weighted Coefficient Model of Regional Agricultural Internet of Things Investment and Regional Supply Chain Financial Balance

(3)Z=ρ1∑i∈nAi+ρ2∑j∈nBi,ρ1+ρ2=1.Among them,ρ1 and ρ2 are weighting coefficient; Ai and Bi are the ith value of A variable and the jth value of B variable; Z is the weighted coefficient evaluation result.


## 3.1. Data Sources

All data are based on the official yearbook data of the local bureau of statistics as the core reference data, the work report data of the local government, and the official website data of agriculture, forestry, water conservancy, transportation, and other departments. Part of the data comes from the annual report data disclosed by financial enterprises.The data time range examines the annual data from 2018 to 2021.The geographical scope of the data examines the data of 14 noncapital prefecture level cities (60 districts and counties) from Shandong Province, Zhejiang Province, Guangdong Province, Jilin Province, Heilongjiang Province, Henan Province, and Anhui Province. The data involves a total agricultural population of 13.4 million people, and the median GDP of the districts and counties involved is 24.3% higher than that of all districts and counties in China.


## 3.2. Statistical Methods

Nonlinear curve estimation algorithm:Coefficient of determinationR2(1)R2=∑ixi−x¯∑ixi−x~i,x¯=1n∑i=1nxiAmong them,x¯ is the arithmetic mean of the investigated sample sequence; x~i is the ith regression value in the sequence; xi is the ith input value in the sequence; the number of investigation samples is n.Spearman correlation algorithm(2)ρs=∑i=1NRi−R¯Si−S¯∑i=1NRi−R¯2∑i=1NSI−S¯21/2.Among them,Ri and Si are the grades of the observed values, respectively; R¯ and S¯ are the average grades of variables x and y, respectively; N is the total number of observations;


## 3.3. Statistical Variables

Regional Agricultural Internet of Things investment (variableA): the total investment of Internet of Things facilities in agricultural-related fields such as smart weather, smart water conservancy, soil and water monitoring, atmospheric composition monitoring, smart transportation, and smart logistics set by governments at all levels in the main agricultural production areas under the smart rural system is calculated in yuan/resident agricultural population.Financial balance of regional agricultural supply chain (variableB): the investment balance of regional agricultural supply chain financial products legally recorded is calculated in yuan/resident agricultural population by calculating the ratio with the resident agricultural population in the region.Agricultural growth rate (variableC): this is the ratio of the total GDP generated by agriculture (agriculture, forestry, animal husbandry, and fishery) in the statistical area to the statistical value of the previous year. Among them, only inland aquaculture fisheries are counted, and inland river and lake fishing fisheries and marine fishing fisheries are not counted.Urban-rural income ratio (D variable): this is the ratio of the per capita annual disposable income of regional rural population to the per capita annual disposable income of urban nonpublic residents.It is very necessary to establish a complete agricultural supply chain structure. Only when the structure of agricultural supply chain is relatively stable can it bring higher economic benefits. On this basis, when seeking the services of other financial institutions, we can rely on the complete supply chain of agricultural production and the combination of upstream and downstream customers to realize the integration of interests, participate in market competition, and resist risks. Combined with the application of high technology in agricultural supply chain, it can improve the quality, safety, and productivity of agricultural products and greatly improve its own economic value.


## 3.4. Weighted Coefficient Model of Regional Agricultural Internet of Things Investment and Regional Supply Chain Financial Balance

(3)Z=ρ1∑i∈nAi+ρ2∑j∈nBi,ρ1+ρ2=1.Among them,ρ1 and ρ2 are weighting coefficient; Ai and Bi are the ith value of A variable and the jth value of B variable; Z is the weighted coefficient evaluation result.


## 4. Empirical Analysis Results

### 4.1. Relationship Model between Regional Agricultural Internet of Things Investment, Regional Agricultural Supply Chain Financial Balance, and Agricultural Growth Rate

In the environment of the Internet of Things, the agricultural industrial chain eliminates the problem of information asymmetry between the upstream and downstream of the supply chain and achieves the information interaction between the upstream and downstream subjects of the industrial chain. This section will empirically analyze the correlation between regional agricultural IOT investment, agricultural supply chain financial balance and agricultural growth rate through the weighted coefficient model. Figure2 shows the correlation between regional agricultural IoT investment and agricultural growth rate.Figure 2
Correlation between agricultural Internet of Things investment and agricultural growth rate in the region.In Figure2, variable A is the input of regional agricultural Internet of Things and C variable is the agricultural growth rate. From the dispersion degree of data and the trend of trend line, it can be seen that with the increase of the input cost of regional agricultural Internet of Things, the growth rate of regional agriculture will increase correspondingly, but the corresponding relationship between the two is not linear, and the increase range is not one-to-one. Figure 3 shows the correlation between the financial balance of regional agricultural supply chain and agricultural growth rate.Figure 3
Correlation between regional agricultural supply chain financial balance and agricultural growth rate.In Figure3, variable B is the financial balance of regional agricultural supply chain and C variable is the agricultural growth rate. It can be seen from the figure that the regional agricultural growth rate will also increase with the increase of the financial balance of the regional agricultural supply chain, and the agricultural growth rate will increase exponentially after the balance base increases to a certain extent. With the popularity of Internet of Things applications, it can help financial institutions more easily obtain real-time information of all links of the agricultural supply chain, analyze the demand for financial products in the upstream and downstream of the agricultural supply chain, and promote the development and growth of agriculture.


### 4.2. Empirical Analysis on the Consistency of Regional Agricultural Internet of Things Investment, Agricultural Supply Chain Financial Balance, and Agricultural Growth Rate

According to the above statistical calculation method forR2, in order to verify the data fitting between the regional agricultural Internet of Things investment and the regional agricultural supply chain financial balance in this study and the agricultural growth rate, respectively, Matlab is used to fit the data from 2018 to 2021 to obtain the value of R2 (see Table 1 below for the detailed data).Table 1
Distribution of empirical results of determination coefficientR2.
Variable2018201920202021Investment in regional agricultural Internet of Things0.5680.6840.8510.967Financial balance of regional agricultural supply chain0.6120.7340.8690.994In Table1, it can be seen that with the increase of years, the higher the value of R2 in the nonlinear data fitting result between the investment of regional agricultural Internet of Things or the financial balance of regional agricultural supply chain and the regional agricultural growth rate and the closer the value of R2 is to 1 indicate the higher the consistency between the two and the fitting function.In order to ensure the consistency and accuracy of the data, the correlation between regional agricultural Internet of Things investment and regional agricultural supply chain financial balance and regional agricultural growth rate is evaluated through Spearman correlation coefficient function, and the data in Table2 below are obtained.Table 2
Spearman correlationρ distribution of empirical results.
Variable2018201920202021Investment in regional agricultural Internet of Things0.3870.5210.7430.951Financial balance of regional agricultural supply chain0.3250.5110.6990.878In Table2, it can be seen from the data that the correlation between regional agricultural Internet of Things investment and agricultural growth rate is consistent with the correlation between regional agricultural supply chain financial balance and agricultural growth rate, and with the increase of years, the larger the value of ρ, the closer it is to 1, which shows that the investment in regional agricultural Internet of Things and the financial balance of regional agricultural supply chain are positively correlated with the growth rate of regional agriculture, and the correlation is more significant with the increase of years.


### 4.3. Relationship Model between Regional Agricultural Added Value and Urban-Rural Income Ratio

Through the Internet of Things and the use of agricultural supply chain financial services, the intellectualization of agriculture is further realized, so as to improve the added value of agriculture. The increase of agricultural added value has also driven the increase of urban and rural income. Figure3 shows the analysis of the relationship between regional agricultural added value and urban and rural income.In Figure4, variable C is the agricultural growth rate and D variable is the urban-rural income ratio. It can be seen from the figure that with the increase of agricultural added value, the urban-rural income ratio is also gradually rising, which shows that the establishment of this model can help rural economic development.Figure 4
Correlation between regional agricultural added value and urban-rural income ratio.


### 4.4. Weighted Coefficient Model of Regional Agricultural Internet of Things Investment and Regional Supply Chain Financial Balance

Using the weighted coefficient model, we can get the following Figure5 for the importance of regional agricultural Internet of Things investment and regional supply chain financial balance in the development of rural supply chain finance.Figure 5
Weighting coefficient of regional agricultural Internet of Things investment and regional supply chain financial balance.In Figure5, it can be seen that with the increase of weighting coefficient, the value of D variable will also increase. In this way, the weighting coefficient model can provide a reference basis for the collaborative development model of smart countryside and agricultural supply chain finance.


## 4.1. Relationship Model between Regional Agricultural Internet of Things Investment, Regional Agricultural Supply Chain Financial Balance, and Agricultural Growth Rate

In the environment of the Internet of Things, the agricultural industrial chain eliminates the problem of information asymmetry between the upstream and downstream of the supply chain and achieves the information interaction between the upstream and downstream subjects of the industrial chain. This section will empirically analyze the correlation between regional agricultural IOT investment, agricultural supply chain financial balance and agricultural growth rate through the weighted coefficient model. Figure2 shows the correlation between regional agricultural IoT investment and agricultural growth rate.Figure 2
Correlation between agricultural Internet of Things investment and agricultural growth rate in the region.In Figure2, variable A is the input of regional agricultural Internet of Things and C variable is the agricultural growth rate. From the dispersion degree of data and the trend of trend line, it can be seen that with the increase of the input cost of regional agricultural Internet of Things, the growth rate of regional agriculture will increase correspondingly, but the corresponding relationship between the two is not linear, and the increase range is not one-to-one. Figure 3 shows the correlation between the financial balance of regional agricultural supply chain and agricultural growth rate.Figure 3
Correlation between regional agricultural supply chain financial balance and agricultural growth rate.In Figure3, variable B is the financial balance of regional agricultural supply chain and C variable is the agricultural growth rate. It can be seen from the figure that the regional agricultural growth rate will also increase with the increase of the financial balance of the regional agricultural supply chain, and the agricultural growth rate will increase exponentially after the balance base increases to a certain extent. With the popularity of Internet of Things applications, it can help financial institutions more easily obtain real-time information of all links of the agricultural supply chain, analyze the demand for financial products in the upstream and downstream of the agricultural supply chain, and promote the development and growth of agriculture.


## 4.2. Empirical Analysis on the Consistency of Regional Agricultural Internet of Things Investment, Agricultural Supply Chain Financial Balance, and Agricultural Growth Rate

According to the above statistical calculation method forR2, in order to verify the data fitting between the regional agricultural Internet of Things investment and the regional agricultural supply chain financial balance in this study and the agricultural growth rate, respectively, Matlab is used to fit the data from 2018 to 2021 to obtain the value of R2 (see Table 1 below for the detailed data).Table 1
Distribution of empirical results of determination coefficientR2.
Variable2018201920202021Investment in regional agricultural Internet of Things0.5680.6840.8510.967Financial balance of regional agricultural supply chain0.6120.7340.8690.994In Table1, it can be seen that with the increase of years, the higher the value of R2 in the nonlinear data fitting result between the investment of regional agricultural Internet of Things or the financial balance of regional agricultural supply chain and the regional agricultural growth rate and the closer the value of R2 is to 1 indicate the higher the consistency between the two and the fitting function.In order to ensure the consistency and accuracy of the data, the correlation between regional agricultural Internet of Things investment and regional agricultural supply chain financial balance and regional agricultural growth rate is evaluated through Spearman correlation coefficient function, and the data in Table2 below are obtained.Table 2
Spearman correlationρ distribution of empirical results.
Variable2018201920202021Investment in regional agricultural Internet of Things0.3870.5210.7430.951Financial balance of regional agricultural supply chain0.3250.5110.6990.878In Table2, it can be seen from the data that the correlation between regional agricultural Internet of Things investment and agricultural growth rate is consistent with the correlation between regional agricultural supply chain financial balance and agricultural growth rate, and with the increase of years, the larger the value of ρ, the closer it is to 1, which shows that the investment in regional agricultural Internet of Things and the financial balance of regional agricultural supply chain are positively correlated with the growth rate of regional agriculture, and the correlation is more significant with the increase of years.


## 4.3. Relationship Model between Regional Agricultural Added Value and Urban-Rural Income Ratio

Through the Internet of Things and the use of agricultural supply chain financial services, the intellectualization of agriculture is further realized, so as to improve the added value of agriculture. The increase of agricultural added value has also driven the increase of urban and rural income. Figure3 shows the analysis of the relationship between regional agricultural added value and urban and rural income.In Figure4, variable C is the agricultural growth rate and D variable is the urban-rural income ratio. It can be seen from the figure that with the increase of agricultural added value, the urban-rural income ratio is also gradually rising, which shows that the establishment of this model can help rural economic development.Figure 4
Correlation between regional agricultural added value and urban-rural income ratio.


## 4.4. Weighted Coefficient Model of Regional Agricultural Internet of Things Investment and Regional Supply Chain Financial Balance

Using the weighted coefficient model, we can get the following Figure5 for the importance of regional agricultural Internet of Things investment and regional supply chain financial balance in the development of rural supply chain finance.Figure 5
Weighting coefficient of regional agricultural Internet of Things investment and regional supply chain financial balance.In Figure5, it can be seen that with the increase of weighting coefficient, the value of D variable will also increase. In this way, the weighting coefficient model can provide a reference basis for the collaborative development model of smart countryside and agricultural supply chain finance.


## 5. Suggestions on Promoting Rural Development and People’s Livelihood of Agriculture, Rural Areas, and Farmers with Agricultural Supply Chain Finance under the Background of Internet of Things

Because the income of agricultural production is affected by many external factors, such as climate, seeds, and management, it cannot meet the expectations at harvest, which affects the direct income and brings certain risks to the repayment ability of financial services. Moreover, the development scale of agricultural enterprises is relatively single, and the operation is relatively scattered. Affected by climate, diseases and pests, epidemic diseases, market, and other factors, the profit fluctuates greatly compared with other industries [12]. Under the guidance of national policies, financial institutions have increased their support for agriculture, rural areas, and farmers. However, due to the fact that financial institutions do not have a sound mechanism for agriculture-related loans for the time being, and the strength of agriculture-related enterprises and individuals is weak, and there is not enough collateral, the service enthusiasm of financial institutions is not high [13].Due to the lack of relevant legal knowledge of agricultural enterprises and individuals, it also restricts the development of agricultural industrial chain. In the context of Internet of Things, corresponding suggestions are given for agricultural supply chain finance to promote the healthy development of rural areas:Establish a sound agricultural supply chain structure: the agricultural supply chain can bring higher economic benefits only after its own structure is relatively stable. On this basis, when seeking the services of other financial institutions, we can rely on the complete supply chain links in agricultural production and the binding of upstream and downstream customers to realize the integration of interests, participate in the competition in the market, increase the competitiveness of enterprises and individuals, and ensure the antirisk ability of enterprises and individuals. Combined with the application of high-tech to agricultural supply chain, it can improve the quality, safety, and productivity of agricultural products and greatly improve its own economic value [14].Diversified financial products serving agricultural supply chain: with the diversification of agricultural products and the construction of agricultural supply chain ecosystem, the demand for financial institutions in all links of agricultural supply chain is different, so financial institutions need to adjust their own financial products to serve agricultural enterprises and individuals in different links. Moreover, due to its own characteristics, agricultural products have different maturity cycles and uncertain income time. Financial products can also adjust the repayment cycle and repayment method accordingly. At the same time, agricultural products and accounts receivable can be used as loans to effectively reduce the loan threshold of agricultural enterprises and individuals.The economic situation of rural areas is closely related to the overall financial development of our country. In order to build a socialist modern power, we must solve the problems of farmers and rural areas. In other words, we should fundamentally revitalize the economy and culture in rural areas, establish a perfect credit collection and management system for agricultural enterprises and individuals, help financial institutions evaluate agricultural enterprises and individuals, and determine the loan amount and repayment method according to the evaluation results. Establishing a complete credit system, providing effective agricultural enterprise and personal information and realizing information sharing can ensure that financial institutions can truly obtain agricultural enterprise and personal information and effectively improve work efficiency, so as to promote the rural revitalization policy and finally build a small and healthy society in China.



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*Source: 1577900-2022-05-12.xml*