Order In The TIXI-The Structural Interpretation Of China’s Grain Market Order

This paper is to think about:What is the structural basis of China’s grain market order? Market order is ultimately reflected on the stability of price, but behind the price, there is complex relationship between market subjects. I found that in China’s food market, some of the new social structure factors have been formed, and the new structure factors definitely have a crucial impact on the formation of price.I use the "TIXI"(体系)to summarize the newly-emerging social structure. The so-called "TIXF"(体系)refers to a non-equilibrium state of the social system structure existing power and resource distribution. It is usually a center-periphery structure. TIXI(体系)in grain market is a multi-level and multi-dimensional center-edge of the system between grain production, operation and management subjects, including the central structure, the intermediate structure and the periphery structure. The central structure of the grain market "TIXI"(体系)is a bureaucratic management system in national grain work; intermediate structure is mainly formed by the food lay system, national and regional food wholesale market, state-owned food enterprises of all sizes and the leading private enterprises; edge structure can not be supported by the state including the object of collective farmers, mil-small food businesses, the self-employed farmers and grain farmers. There is a master-slave relationship during the "TIXI"(体系)of internal, central structure, intermediate structure and the edge of the structure. Because of non-equilibrium state between power and resource distribution, the master-slave relationship has been institutionalized.Grain market-oriented reforms resulted in the emergence of "TIXI"(体系).Before the grain market-oriented reform, each of our local area has a high degree of internal self-sufficiency. There is a relatively homogeneous honeycomb structure among these relatively independent local economies. The grain businesses are "managed by grain administration departments at different levels, and businesses in different levels are managed by the corresponding government grain departments. The process of grain market-oriented must break each relatively closed economy, to form a national unified and open market. This is a big challenge to form such a market, because such a large-scale food market has never appeared in our country, and how to ensure the basic stability of grain price during the marketing process is a totally new practice. During the grain market-oriented reforms, there is a contradiction between market stability and grain price liberalization. Grain market stability is a precondition for open gain price, which constitutes the main aspect of conflict. This paper mainly analyzes social structural factors,which is useful for the price stability.Grain market-oriented reform is the product of the integration of state-led and social spontaneous. During the recovery process of the bazaars, the farmers’spontaneous behavior is significant. The central government’s system design and promotion played a decisive role in the formation process of a unified national market. In the grain market reform process, centralization, market integration and market diversification develop simultaneously, and all three are the conditions mutually. There are two paths for grain market reform, before 2001, it’s a local-focused path, but the reform failed. Then, the state turned to strengthen the control capability of central state in the unified national market. Based on the reform of tax system to strengthen the central finance, the central government has established the central grain reserve system which is an independent on local grain procurement enterprises, its management is vertical; set up China Agricultural Development Bank which provides a special service to the grain market-oriented reform; established food risk fund which provides a special support for market-oriented reform; and then founded a number of national food wholesale markets which are based on policy and national network of competitive auction; and effectively dismantled the highly close relationship between enterprises and local governments through the local state-owned grain enterprises reform of property rights,. In the process of grain market-oriented reform, grain -related administrative departments have been retained, including upper management departments which are also strengthened during the macro-control mechanism strengthening process, they are the central structure of the grain market system structure. These emerging high-level business entities constitute the upper-level of the middle structure in the grain market system. With the increasing of state financial support for agriculture, the state has began to implement a policy to support the leading enterprises of agricultural industrialization since 1994, and it has had an increasing influence on enterprises. A kind of interdependent relationship between government and leading enterprises has been formed. These leading enterprises and the local retained state-owned grain enterprises formed the lower-level of the middle structure of the grain market system.During the process of promoting market-oriented reform, especially strengthening the unity of market, those tiny production and management subjects from the rural community and the most basic collective farmers were gradually marginalized. This marginalization is the cause of the "TIXI"(体系)formation, but also partly the result of its formation. As the mode of the nation develop grain production is changing from the traditional way of relying on grassroots organizations to mobilize farmers to expect companies to bring on farmers, making this marginalized structure controlled by the joint of power and capital in the middle of the structure. With the formation of a unified national market, the risk of market operation increases, the development environment of the Farmers Economic Cooperation Organization tends to worsen. "TIXI"(体系)supports for employment-type farms and grain broker, it is helpful to farmers in the short term, but in the long run, it also crowds out the Farmers Economic Cooperation Organization for operation farmers and Collective Economic Organizations for contract farmers. Moreover, the spontaneous upgrading path from contract farmers to operation farmers is rough, and operation farmers do not have advantages to compete in employment-typed farms. It may be inevitable or necessary for family operation activities from contract farmers are weak, but the problem that the future of the whole family-run agricultural system is blurred. The weakness of the family-run system, in turn, is possible to threaten the integrity of the architecture."TIXI"(体系)has played an important role on the stable grain price, and this role can be showed from three levels. Firstly, the integrity of the various elements within the "TIXI"(体系),making different parts support each other to better achieve the basic functions of the economic system; secondly, institutionalization of the relationship between the subjects within the system, making the relationship among grain market players become orderly and stable; thirdly, the "TIXI"(体系)promotes the balance between supply and demand. The reason is, under the condition of a little tight grain supply and a relatively complete system, reluctant departments do stimulate production by increasing investment, and can roughly predict investment yield. Relying on grain self-sufficiency policy, food reserve system, the national wholesale market, and other state-owned grain enterprises, system architecture has powerful ability to control the flow. Over the past decade, China’s grain price has successfully avoided the ups and downs, and stayed stable growth, which is related to the formation of the system.The appearance of "TIXI"(体系)brought stable grain price, but the "TIXI"(体系)itself is unstable. If "TIXI"(体系)continues to strengthen itself along the existing logic, it may threaten the sustainability of the system itself. The question needs further consideration is:If we want to consciously improve the "TIXI"(体系),then, what is the orientation for this kind of conscious improvement?...