Empirical Analysis On The Effect Of Agricultural Subsidy Policy On Cultivated Land Circulation

Agricultural subsidies, as a significant and common tool to support and protectChinese agriculture and a main way to address the issues of “agriculture, countryside andfarmers” for our government as well, its principal objective is to safeguard food security,stabilize the price of agricultural products and enhance the income for farmers. As regardto the transfer of arable land, it is a fundamental method to coordinate the arable landcontract responsibility system in our country and modern agricultural construction underthe background of market economy, which also drives the transfer of surplus rural laborsalong with adjustment of agricultural structure. Implementing the policy of agriculturalsubsidies has effect on the transfer of arable land in the content, which is the intrinsicrequirement to promote the agricultural overall strength and to develop the function ofself-refreshing.Based on the review of related researches concerning agricultural subsidiesinfluencing the transfer of arable land at home and abroad, this article theoreticallyanalyzes the action mechanism of agricultural subsidies, the responding mechanism andeffect factors of arable land transfer, and the action mechanism of agricultural subsidiesaffecting transfer of arable land at the basis of390survey data from8counties in Jiangxiprovince. Conducting the result description and statistical analysis, the researcher buildsthe effect model of agricultural subsidies influencing the transfer of arable land at the sametime, and adopts simple linear regression to analyze the impact of agricultural subsidiestowards the transfer of arable land. Subsequently, after binomial logistic regression isemployed in quantities analysis of this impact, the conclusions are drawn as follows: firstly,the policy of agricultural subsidies indeed has certain effect on the transfer of arable land insome extent. Secondly, the situations of arable land transfer in different areas with distincteconomic level display some differences. Thirdly, implementing the policy of agriculturalsubsidies boosts the growth of arable land transfer rate as well as motivates the concreteactions of arable land transfer. Fourthly, there exists disparity in terms of four differentpolicies of agricultural subsidies affecting arable land inflow respectively. Direct subsidiesof food and subsidies of selective seeds dramatically facilitate the transfer of arable land,while arable land inflow seems to be restrained by general subsidies for agriculturalsupplies and farm machinery purchase subsidies. Last but not the least, disparity, likewise,occurs in terms of four agricultural subsidies affecting outflow of arable land. The directsubsidies of food and the farm machinery purchase subsides markedly propel the outflow of arable land. However, the effect of selective seeds subsidies and general subsides ofagricultural supplies is not so distinct. Generally, the policy of agricultural subsidies stillplays a favorable role in the outflow of arable land.On account of those conclusions above, the researcher proposes four suggestions, thatis, firstly, steadily lift the price level of agricultural subsidies policy. Secondly,continuously perfect the administration and supervision mechanism of agriculturalsubsidies. Thirdly, further decrease relative links of subsidies and consolidate farmers’awareness towards agricultural subsidies policy. Lastly, farming leading producer shouldbe given priority to in the regard of subsidies support.