Research On The Effect And Influence Factors Of Specialized Farmers Cooperatives Driving Peasant Income

The Chinese Household contract responsibility system, to some extent, encouraged farmers’ enthusiasm for production and promoted the development of agricultural economy, however, with the development of market economy, the contradiction between small-scale production and large-scale market increasingly fierce, the limitations of this arrangement gradually appeared. The production taking family as a unit makes individual farmer face higher transaction costs and greater market risk. In this context, the Specialized Farmers Cooperatives, targeted for serving farmers, had been emerged gradually. Especially after the promulgated of "Law of the People’s Republic of China on Specialized Farmers Cooperatives", specialized farmers cooperatives have been further developed. The majority of scholars believe that specialized farmer cooperatives can improve the degree of organization of farmers, enhance the bargaining power of the market, achieve scale effect and achieve to promote agricultural income. Yet,the specialized farmer cooperatives did not play well enough in promoting agricultural income and was even weak in push forward farmers’ income, especially compared with developed countries. Although the current study mentioned this problem, they did not make in-depth empirical analysis, which mostly remained elaborate theoretical level, in particular lacking the research of influence factors of performance that cooperatives promoting agricultural income.Based on the above practical and academic status, this thesis adopt research methods including questionnaire and empirical analysis, use analysis tools containing cooperative theory, the theory of institutional change and economies of scale theory, to explain the promotion effect on farmers’ incomes of specialized farmer cooperatives. Firstly, under the sorting of existing research, the thesis theoretically elaborate the ways of specialized farmer cooperatives improving farmers’ income, and analyze the effectiveness and shortcomings of the current co-promote agricultural income as a whole; then, use descriptive statistical method to analyze the samples of cooperatives, and the members’ income situations, grasp the relevant circumstances about affecting farmers’ income; and finally, based on econometric techniques the thesis build multivariate Logistic model, under the stata12.0 statistical analysis software, the effect of cooperatives improving farmers’ income were parameter estimated, which reveal the realization of each factor on members’ income.The empirical results include,(1) On the agricultural and technical aspects of environmental factors, price fluctuation promotes agricultural income effect on specialized farmers cooperatives significantly. In the same situation, the more volatile of price, the higher margin profit generate, farmer cooperatives do stronger effect on promoting farmers’ income;(2) On the membership characteristic factors, the president has done business or ran marketing without employment and president has sponsored companies with business management experience show obvious positive effect on increasing farmers’ income. President owing cadre status also has a direct impact on farmers’ income;(3) On co-operation and management factors, cooperatives which provide unified management of production services and unified marketing or processing services pass the test of significance, and the coefficient is positive, which indicate that the supply of services about production management and unified marketing process and services benefit the farmers’ income. Meanwhile, agricultural cooperatives with the distribution of earnings and the agricultural geographical indications are easier to achieve higher income;(4) On policy and environmental factors, with financial support, the greater the local per capita arable land, cooperatives of promoting agricultural income effect is more obvious.According to the conclusions of this paper, we propose the following policy recommendations:(1) make better services and managements;(2) establish and improve the benefit mechanism as a focus on patronage-based return;(3) enhance the training for farmers’ professional co-president;(4) focus on brand building of agricultural products;(5) strengthen the support and supervision for the specialized farmer cooperatives.