Study On Benefit Coordination Mechanism Of Peasant Households, Rural Brokers And Vendors

The difficulty in selling agricultural products has increasingly become a core issueto solve the Three Rural Issues involving peasant households’ income, agriculturalgrowth and rural stability. Rural brokers and vendors, as a bridge between agriculturalproduction and markets, are generally considered to play an important role inagricultural production responding to market. In reality, rural areas are not in thedominated position of the market economy, interest mechanism of relevant stakeholdersat the junction of brokers being imperfect, causing the chain of agricultural productscirculation difficult to be connected. So a result, it restricts the further development ofagriculture. This article attempts to diagnose the reasons of peasant households, therural brokers and vendors’ uncoordinated interests, then proposing some specific policy,do expect to solve effectively the difficult problems in agricultural products selling andrural incomes gain.This thesis explored the root causes of the difficulty selling of agricultural productsaccording to theoretical analysis, then designed the indicators system, and next analyzedthe main behaviors of peasant households, rural brokers and vendors in method ofdescriptive statistics respectively. The result is as below. Firstly, there is a serious crisisof confidence among peasant households, rural brokers and vendors. Secondly, themutual information has been blocked, lack of transparency and openness. Asymmetricinformation is most evident in the peasant households’ production and trades, leading toits disadvantage position in the circulation of commodities. Thirdly, peasant households,rural brokers and vendors haven’t established a stable and fixed cooperative relationship,mutual connecting being relatively loose. Finally, among three parts, there is noformation of risk and benefit sharing benefit coupling mechanism. Each of themconstantly maximizes the interest of their own in the prize of injuring others. Accordingto the analysis of the subject behaviors, the paper found the existing troubles in thetripartite interest coordination mechanism, including the imperfect expression ofinterests, integration mechanism, the constraint mechanism and the compensationmechanism of interest. At the same time, it analyzed the external and internal reasonsfrom two aspects. External causes are including market and the external environment ofrural market imperfections, the vacancy of interests regulation mechanism，while theinternal reasons contains the immaturity of the rural market, the profits competition among triple parts, as well as the low cultural quality of them.Based on the above research, this paper proposes to build peasant households, ruralbrokers and vendors’ interest coordination mechanism in Chongqing Municipality. Themain mechanism designs of this study are as following. Firstly, build a sound systemand environment. Secondly, build a positive and healthy cultural environment toenhance cultural soft power promoting the economy. The third is to increase financialinput, and actively absorb the investment to ensure the development of agriculture.Fourthly, optimize production environment of agricultural production. Fifthly, improvethe market environment in sales of agricultural products. The six is establishing andimproving the agricultural insurance system. The last one is trying to develop andexpand the peasant households’ professional cooperative economic organizations.