The Correlation Study Of China's Grain Purchase And Refined Grain Wholesale Market Price Fluctuation

The emergence of "strong paddy and wheat,weak rice and flour" in the domestic food market is a typical performance of problems in food price transmission mechanism.Generally speaking,price transmission roots in the intervention of non-market forces.On one hand,domestic food price support policies provide a platform for government forces,on the other hand,the food imports lead to international food price shocks indirectly.Thus,analysising the problems about food price transmission mechanism in the presence of complex power has its important significance in practical and theoretical.In this paper,we combine theories of fluctuations' correlation about markets' prices with the situation of grain markets' development,and then put forward hypothesis about it.Secondly we build model to validate the hypothesis and sum up the above conclusions and make appropriate policy in the end.The main contents are as follows:Firstly,this paper introduces theories about the fluctuations' correlation of the acquisition of raw grain and processed grain wholesale market prices,including the theory of price formation mechanism and price transmission,provide a theoretical basis for this study.Then this paper describes fluctuations about the acquisition of raw grain and processed grain wholesale market prices and analyse the factors which influence on it.Raw grain and processed grain purchasing market wholesale prices are rising in these years,but the degrees of them are different.Overall,the price of the acquisition of raw grain is high while the processed grain wholesale market price is low,that appear on the market today is "strong paddy and wheat,weak rice and flour".As a result of that the current market structures between the acquisition of related raw grain and processed grain wholesale market are different.Finally,this paper makes comprehensive theoretical research on the fluctuations' correlation of the acquisition of related raw grain and processed grain wholesale markets,and then conduct empirical research on it.With the VAR model,this paper finds that the fluctuations' correlation of the acquisition of raw grain and processed grain wholesale market prices is low,and also finds that the food imports have a impact of the low correlation.In the end,this paper puts forward several proposals based on the above findings: Firstly,in regard of the markets' prices formation mechanism,we should continue to take the path of market-oriented reforms,especially promote the target price instead of the prices now actively and steadily.Secondly,about the processed grain wholesale market,we should support the development of food processing enterprises,and improve production efficiency and competition situation of them.Finally,with respect to the internationals' hitting,our government should actively promote the domestic production efficiency in agriculture when regulate and control the imports appropriately,so as to enhance the international competitiveness of food production and reduce the likelihood of the impact.