Study On Fiscal Agricultural Support And Its Efficiency In China

As a special sector with more public interests, agriculture has been intervened and supported by governments both in developing countries and developed countries. As a core measure for government's adjusting and protecting agriculture in market economy, fiscal agricultural support levels, support patterns and support efficiency have been paid much attention by governments and relevant researchers in different countries.Market economy is a Wnd of efficient economy. Raising fiscal expenditure efficiency is an objective demand for changing government's function in market economy, and it is also the main aim of China fiscal system reform. Fiscal agricultural support is an important content of government's public expenditure policy. Restrained by fiscal resources, how to perfect fiscal agricultural support system and to raise fiscal agricultural support efficiency is the main problem that must be resolved for reforming China fiscal agricultural support policy and perfecting support fund management.Based on elaborating the theoretical basis of fiscal agricultural support and its objective necessity in China, firstly, this paper gives some positive analyses on China fiscal agricultural support size, support patterns and support efficiency since reforming and opening to outside by trend analysis method, econometric analysis method and comparative research method. Then relative economy theories are introduced to give a further analysis on institution factors and behavior factors of interested parties, which impact on government's fiscal agricultural support action and support efficiency. The main purpose of this dissertation is to present some improving suggestions according to the problems existing in China fiscal agricultural support action and support efficiency and to hope having some enlightenment for perfecting China fiscal agricultural support system and fiscal expenditure management rules.This study shows that public investment in agriculture to supply agricultural public goods and services is the dominant pattern of China fiscal agricultural support, but the subsidiary support which is supplied to agricultural production, circulation, trade activities or some residents by government is still subsidiary pattern of agricultural support.As far as China current fiscal resources, absolute scale and relative scale of public agricultural support are all in normal level, so it has more practical significance to stress on steady increasing of aggregate support than to stress on enlarging the relative scale of agricultural support. In the long run, it is inevitable that aggregate fiscal agricultural support increases steadily and relative scale decreases gradually.That spending structure of support funds is not reasonable and fiscal expenditure management rules has many abuses is the main reason why fiscal public agricultural funds are not used efficiently.Direct income subsidy pattern is better in accord with efficiency principles than price support pattern in circulation field, and it can raise peasants' revenue directly, however, direct income subsidy can't become the dominant pattern of China fiscal agricultural support, because there are not enough fiscalfunds to raise all peasants' revenue.MaHng efficiency evaluation on fiscal agricultural support is an objective demand for raising worHng efficiency of agricultural expenditure decision and supervision management. Each evaluation method has its own shortcomings, but it is valuable to use with perfecting of fiscal expenditure management rules.Finally, some relevant policy implications are suggested to perfect China fiscal agricultural support system and improving fiscal agricultural support efficiency.