| Agriculture is the basic industry of strategic stability and tranquility of the people’s livelihood. In twenty-first Century, people paid more attention to the problem of "three agriculture" is increasing, and the problem of increasing farmers’ income has always been the core issue. From the beginning of 2004, the continuous introduction of the nine "central first document", referred to the farmers’ income problem, visible central to improve the degree of attention of farmers’ income. Vigorously support the development of agriculture cannot do without the mechanization of agriculture to increase farmers’ income, agricultural mechanization and issues on the agenda, attention, agricultural machinery purchase subsidy policy implementation, agricultural promotion law indicates the development of Agricultural Mechanization in a new era, agricultural mechanization has become an important driving force for the development of rural economy. As to promote the power equipment of the industrial revolution, agricultural mechanization also serve as an effective carrier of many agricultural science and technology, these technologies can be widely applied in the field of agriculture, many advanced technologies such as high efficiency, protect the environment, improve agricultural production capacity of agricultural mechanization technology once left is unable to obtain the realization agricultural mechanization is an important force in the agricultural revolution. Although important for understanding already Agricultural Mechanization in rural economic development is well known, but has never been like today’s affirmation and recognition. In the course of the development of traditional agriculture to modern agriculture, mechanization of agriculture is a very important factor to solve the problem of increasing production and increasing production, change traditional relying solely on manual labor mode of production, advanced technology and modern advanced agricultural technology is adopted to improve the current status of agricultural production, improve labor productivity,promote the current status of agricultural modernization, improve farmers’ income.Located in the eastern region of China’s Shandong Province, is the birthplace of China’s farming culture, land scale, land reserve resources are adequate, the implementation of agricultural mechanization has great advantage. Although the development of mechanization of agriculture of Shandong Province in the provinces in the partial level, there are a number of indicators on the front row, but the development such as agricultural mechanization level of activity stagnated, with irrational structure of agricultural machinery and equipment, agricultural machinery business finance investment insufficiency, the new agricultural management main body vacancy problem also exists in the process. And after entering the new century, with the accelerated pace of agricultural modernization and increase the pressure of agricultural competitiveness, Shandong Province on the development of agricultural mechanization put forward higher requirements. Shandong Province, the reality of the development of farmers’ income is facing the reality of the problem requires to speed up the development of mechanization, increase the demand for the development of agricultural mechanization. Therefore, taking Shandong Province as an effective breakthrough point, the thesis makes a thorough study on the impact of Agricultural Mechanization Development on the income of farmers, and has strong practical value and representative.First as the introduction of the Consul General of the part of the text discussed the main content includes:the research background, significance, research status at home and abroad, the main research methods as well as the author for deficiencies in the writing of the summary. Explain the related concepts involved in the paper. To define the concept of agricultural mechanization and farmer’s income, the connotation and extension of the concept is more clear, and to prepare for the development of the thesis. For example, to the mechanization of agriculture and the income of the farmers related theories to explain, including institutional change theory, dual economic structure theory, transaction cost theory, the theory of demand elasticity, external economy theory, regional economic development theory, Marx theory of the mode of growth, for follow-up study of this paper lay a solid theoretical foundation.Secondly, on the one hand, the status of agricultural mechanization development and farmers’ income in Shandong province were analyzed. Is mainly for comprehensive analysis of the system of agriculture in Shandong province mechanization development present situation and farmers’ income status, such as the favorable conditions for the development of agricultural mechanization, the existing achievements, existing problems and on Farmers’ income structure and scale of the analysis, a general understanding of the actual situation of Shandong province mechanization of agriculture and the income of the farmers, in order to make the empirical analysis for the provision of adequate information and data. On the other hand, the development of Agricultural Mechanization in Shandong Province on the impact of farmers’ income. Firstly, the qualitative analysis method, a general analysis on the influence of development of Agricultural Mechanization in Shandong Province on the income of the farmers; and then, using econometric models, a more thorough analysis to the province, the implementation of agricultural development of farmer’s income, for the surface of puts forward suggestions to solve the problem and summarizes the conclusions do a good job of foreshadowing. Therefore, it has become the key part of this paper.Finally, on the basis of general theory and the VAR model system’s impact on the development of Agricultural Mechanization in Shandong Province on the income of the farmers degree study, according to the findings of the study show that the cointegration relationship exists between the agriculture in Shandong province mechanization development and farmers’ income; there is a long term equilibrium relationship between the development of agricultural mechanization to farmers income and agricultural mechanization development on the income of the farmers has a long-term positive impact; the development of Agricultural Mechanization in the short term will of farmers’ income increase to a certain extent, the negative effects; agricultural mechanization development to promote the increase of income of farmers with potential, but less than the income of the farmers own contribution. Research conclusions and policy recommendations in this paper. According to the first part to the mechanization of agriculture and the income of the farmers the actual research draws the corresponding conclusion:Shandong province mechanization of agriculture development with remarkable results; the development of Agricultural Mechanization in Shandong Province to planting industry standard and improve and increase the income of the farmers; agricultural machinery in Shandong Province of the development of significant impact on the income of the farmers; to keep the balance of development of Agricultural Mechanization in Shandong Province. According to the conclusion and puts forward the corresponding policy recommendations:to rely on scientific and technological progress, the transformation of agricultural development mode; need to cultivate new agricultural enterprises, improve the service quality of agricultural mechanization; it is necessary to strengthen the scientific management, the adjustment of agricultural structure; to increase financial investment, stable agricultural system. To promote agricultural mechanization in Shandong province to better serve the agriculture, increase the income of farmers. |