Research On Perfecting New Rural Social Old-aged Insurance System Of China

With the continuous deepening of reform and opening up. the continuous development of the national economy.the continuous economic and social adjustments, the new rural social pension insurance (hereinafter referred to as the new farmer's insurance) system instead of the traditional way of family and land retirement is an inevitable trend, is a great initiative to promote the modernization of rural society, is the most important institutional arrangements to improve the social security system in rural China, is the favorable move to show social justice, promote the urban-rural integration and the gradual equalization of basic public services. The system fully reflects the concept of the central government to the people first and governing for the people. Since the founding of New China, to achieve the goal of priority to heavy industrialization, the state adopted different institutional arrangements of heavy industry light agriculture and heavy city light country. In the social security system, the state provided the relatively sound pension, medical care and other social insurance system for the urban workers, while millions of farmers must achieve self-protection. Although there is number of policy of benefiting the agriculture in rural areas, including agricultural tax has been canceled, minimum living allowances and other payments are issued and to implement the new rural cooperative medical care, the level of social security in rural areas is still relatively low, especially old-age security in rural areas mainly rely on the land and family. However, when the reform and opening up has brought great changes, the new social background and era situation raised new demands to the farmers' pension. The time requirements of "the city fostering the countryside" and "the industry nurturing the agriculture", the great changes in rural population structure, including of small rural families and rural population aging, posed a challenge to the old rural social endowment insurance system (hereinafter referred to as the old farmer's insurance), urgently required to build a new farmer's insurance system. First, to establish and perfect the new farmer's insurance system is the requirements of the functions of public finance, is the effective way to raise farmers' income levels and to adjust distribution of national income, is the important initiatives to maintain the unity of social justice and social efficiency. Second, the new farmer's insurance system is an important measure to solve the most direct and realistic "the old get cared, the aged have support" which is the problem farmers are most concerned about, to expand rural consumption demand and promote economic development. Finally, the new farmer'sinsurance system is an important measure of optimization of economic structure adjustment, improvement and protection of the livelihood of people, improvement net welfare of people's livelihood. The trial of the system indicates that China will achieve the leap from policy control to attention to the institutional infrastructure, which can improve macro-control system and macroeconomic regulation.The country launched the pilot of the new farmer's insurance system and implemented the system model of basic pension and individual accounts. The individual accounts are mainly composed of individual contributions, group subsidies and local government subsidies. The basic pension is provided by the central government. Thus, the biggest bright spot of the new farmer's insurance system is the government's financial input. The central government provides farmers with financial assistance of basic pension first time, is a landmark innovation of concept in the social equity and social welfare. However, the new farmer's insurance which is in the pilot phase still have some deficiencies in the design and operation. Therefore, the system needs to be improved in the gradually practice. Based on the careful analysis of the extensive literature and data, in the system background of the growing trend to the public finance, the article which have the concept that is share the fruits of social development and social justice, conducts a comprehensive and systematic research on the new farmer's insurance system from the perspective of system. Firstly, the article sorts out historical changes of the rural social endow insurance system, and analyze in-depth role of government, economy and finance in the rural social pension system change. Secondly, the article has a comparative analysis of old and new models of farmer's insurance system. And on this basis, the article has a systematic analysis of the implementation difficulties of exploration in the practice of the new farmer's insurance system. Thirdly, the article vertical and horizontal respectively compared to the rural social endowment insurance systems in the foreign, and then carefully summarized the lessons and enlightenments learned abroad. Finally, the article expects to provide useful suggestions for the smooth development of new farmer's insurance system, to enhance the stability, efficiency and sustainable development of the system, building the new farmer's insurance system which has the characteristics of fair, inclusive, sustainability and shared with all Chinese.