Research On The Market Risk In The Process Of Rural Industrial Specialization

Agriculture itself is a high-risk industry.The development of market economy improves the degree of rural industrial specialization, increasing the degree of agricultural market opening, deepening the division of labor, lowering the degree of the diversification of the production structure.The rural industrial specialization at a certain degree reduces the small farmers facing the risk of a big market, but the market risk can't be completely eradicated.Market risk is the inevitable result of market economy. Especially after China's entertaince to the WTO, farmers not only have to face the competition from the domestic market, but also have to face the pressure from the international market, which will directly lead to the market risk of the rural industrial specialization complicated.If we do nothing to prevent the market risk, it will lead to a great loss to the agricultural economy ,affecting the sustainable development of agriculture, hampering the healthy development of the rural industrial specialization.Then, under the new situation, What are the main market risks in the rural industrial specialization? what are the formation mechanism of these risks? What are the risk characteristics? How to measure market risk in the process of rural industrial specialization? How to effectively manage the market risks? and so on. These problems are urgently required to solve.This article intendes to have a systematic study of the market risk in the process of rural industrial specialization. Firstly, it analyses the market risk in the process of rural industrial specialization, including the components, manifestations and formation mechanism of the market risk; Secondly it mades a qualitative and quantitative analysis, supplemented by case studies; Finally on the base of oretical analysis and case studies, this article proposes some countermeasures and suggestions, which can weaken the market risk in the process of rural industrial specialization.