Abstract: Based on the panel data of 13 prefectures and cities in Xinjiang from 2010 to 2021, the Moran index was used to measure the spatial distribution of rural residents’ income level, and the spatial Dubin model was constructed to empirically test the spatial effect of fiscal expenditure on rural residents’ income. The results showed that the spatial agglomeration characteristics of farmers’ income level in Xinjiang were obvious, showing the spatial distribution characteristics of “ high-high” aggregation and “low-low” aggregation; there were structural differences and spatial spillover effects in the impact of various fiscal expenditures on farmers’ income; the spatial difference of the impact of fiscal expenditure on farmers’ income in Northern and Southern Xinjiang was very obvious. It was proposed that the structure of fiscal expenditure should be adjusted appropriately according to the impact of different types of fiscal expenditure on income; the spatial spillover effect should be paid attention to and given full play, and each region should make full use of the spatial spillover effect of fiscal expenditure on farmers’ income, and formulate more flexible fiscal policies; the spatial heterogeneity of the impact of fiscal expenditure on farmers’ income should be paid attention to, and regional policy coordination and resource sharing should be ensured, in order to promote the steady increase of farmers’ income in Xinjiang.

Key words: fiscal expenditure, income of rural residents, spatial Durbin model, spatial effect, Xinjiang