Research On The Policy Problem Of Grain Subsidy In Heilongjiang Province

Direct subsidies for grain farmers are the party and the country people project is of implement of the party's "three rural" policy. It is an important and effective measure to protect the interests of grain farmers. China's grain subsidies policies formed in the fifties of last century, after the planned economy period. It has gone through four phase from then on. The "subsidized food costs and the purchase and sale of business post" phase, "to subsidize grain circulation enterprises" stage, "national grain reserves and food subsidies risk fund "stage, and the indirect link through to the circulation of direct subsidies to grain farmers stage. All those involve variety of policies, and many operating difficulties in the systems engineering. Scientific and reasonable expenditures for grain subsidies can effectively promote the development of agriculture and protect the food industry in the fierce international market competition meanwhile relieve the burden on peasants and increase their income.The current policy of grain subsidies is formed since 2002, first applied in Jilin and Anhui province and then many other provinces started to imply the policy. Heilongjiang province, as one of China's 13 major grain producing areas, also started direct subsidies for grain from 2004. In this paper, on the basis of research of the practical implement of grain subsidies in Heilongjiang Province, we sort the data combined with grain subsidies related support theory, using empirical analysis of the relevant mathematical model to show the effects of the grain subsidies and the problem of the implement of this policy. Meanwhile we put forward some proposals to improve the effects of implementation of Heilongjiang Province. The main contents are as follows:(1)Use the empirical method to analysis the econometric models of grain subsidies in Heilongjiang Province. First, Heilongjiang Province grain subsidies are introduced from a theoretical point of view. Analysis Heilongjiang Province household income of farmers, food production and food acreage with the least square method and Granger causality test analysis tools.(2)Propose a further improve method for the implementation of the policy in Heilongjiang Province. First we analysis problems of the grain subsidy policy implement in Heilongjiang Province. Second proposed suggestion on the implement of the grain subsidies in Heilongjiang province based on the analysis of the cause of the problem, combining with theoretical knowledge and empirical analysis.