Study On Private Capital Investment In Rural Infrastructure In Shaanxi Province

Since the reform and opening up, the rural infrastructure has made rapid development in China, which has increased the economic development and promoted the living level of people.However, as a developing country, the rural infrastructure of China can’t meet the needs of high developing economy. Therefore, it’s necessary to increase investment in the rural infrastructure continuously. In a long time, the investment of rural infrastructure was thought to be the responsibility of our government, which influenced the developing of rural infrastructure and restricted the increase of economic seriously.As a resource-rich province, since the beginning of the 1990s, Shaanxi has made a rapid development progress. Though the whole private capital increased rapidly, it’s not be used reasonably and efficiently in the investment of rural infrastructure. Therefore, the rural infrastructure is still very simple in Shaanxi. The theories of this article can help to expand the investment in rural infrastructure and improve the efficiency of private capital. Also, it can help the government to make a better decision in the investment in rural infrastructure.With the help of the relative studies, reasonable methods and Statistical analysis Softwares, the article researches the factors, the efficiencies and the effects of the private capital investment in rural infrastructure in Shaanxi in detailed. It researches the private capital investment in rural infrastructure in both Macro economy and Micro economy. In the Micro economy, with the help of investigation and the Logistic model, the article researches the peasant’s satisfaction from the private capital investment in rural infrastructure. In the Macro economy, the article researches the chief factors, efficiencies and effects of the private capital investment in rural infrastructure. In addition, the study researches the chief models and principles of the private capital investment in rural infrastructure, which can afford some suggestions for the government and the investors.Conclusions:(1) With the help of investigation, researches the situations and problems of the private capital investment in rural infrastructure in Shaanxi. The result is that the private investment prefers to rural infrastructure of living and social development.But, the bad investing environment prevents the private capital from investing in rural infrastructure. Further research shows that peasant is satisfied with transportation, medical treatment and drinking water. The result of Logistic Model shows that, the risk of investment influences the private capital investment in rural infrastructure.(2) On the base of Acceleration Model, with the help of OLS, the article researches the factors of the private capital investment in rural infrastructure. The result shows that, the public investment, Level of consumption, loan, GDP and private investment have a Positive effect. Further research shows that, Level of consumption has a significant effect, so it is the chief factor.(3) With the help of DEA Model, the article researches the efficiency of the private capital investment in rural infrastructure in Shaanxi. The result shows that, the overall technical efficiency is low, but the trend is raising; the pure technical efficiency is high, but the trend is falling. The result of Tobit Model shows that, the level of regional economy opening and the environment of Financial development have a positive effect on the efficiency of private capital investment in rural infrastructure.(4) With the help of C-D Model, the article estimates the effect of the private capital investment in rural infrastructure in Shaanxi. The result shows that, the private capital investment in rural infrastructure has a positive effect on the GDP of agriculture and the income of peasant, and the Total Agricultural Machinery Power, Agricultural labor and Arable land have a positive effect on the GDP of agriculture.On the base of above researches, the article suggests that the category and the construction form of rural infrastructure can be considered when the private capital invests. Also, it researches the investing mechanisms and operating mechanisms of private capital investment. Meantime, according to the insufficient investment, low efficiency and other problems of the investment in rural infrastructure in Shaanxi, the author gives some feasible solutions. The theories, methods and suggestions are good for the private capital investment in rural infrastructure.