The Selection Research Of The Family Farm Financing Model Based On The Perspective Of Transaction Cost

Since putting forward the concept of “family farm”for the first time in the central file no.1 in 2013,making emphasis on nurturing and expanding the new agricultural production and operation organizations,and giving policy support to supporting and develop a new type of agricultural operators represented by family farm,national and local files about the family farm have issued.Family farms have developed rapidly in China,which has made remarkable achievements,including Anhui Langxi,Shanghai Songjiang,Jilin Yanbian development of the family farm in typical areas such as a good leading and exemplary role.Family farm is the main carrier of agricultural modernization and scale development,and it can improve agricultural productivity and increase farmers’ income.At the same time,with the speeding up of urbanization,a large number of surplus rural labor force transfers to towns,and thus family farms can provide an efficient path for who and how to farm in countryside in the future.Family farms will become the inevitable trend of rural land management in the future.But the development of family farms in China will come across many problems and difficulties,for example,the undefined principal position of family farms,the imperfect social service system,the low operator quality and other factors have been hindered the development of family farms.the financing difficulty of family farms is the most prominent and pressing problem.the cause of financing difficulties comes from family farm itself,capital suppliers and the government.How to solve the problem of the family farm financing is the focus of the research,some scholars start with the increased availability of family farm financing,some scholars focus on perfecting rural financial supply and social service system,and the others focus on the innovation of the family farm financing mode.These studies have made certain progress,to a certain extent,which is conducive to solving the family farm financing problems.From the perspective of transaction cost,this paper focuses on how to relieve the family farm financing problem through the selection of proper financing model,which breaks through the traditional way to solve.The main research thought of this article:first of all,based on introducing a review of related literature,we grasp the latest developments in research and tendency,summarize the research achievements of predecessors and the insufficiency,which can indicate the direction for the research of this article;Second,we analyze the financing model of family farm systematically,including the definition of research category,relative basic theory,introduction andcomparison of main financing modes;Then,we analyze present development situation and the status of the financing of the family farm in China,including the main barrier of the development of the family farm,main characteristics and channel,financing difficult reason analysis and the actual operation of financing modes,at the same time,we points out that the underlying reason of family farm financing difficulty is the high transaction cost;Finally,from the perspective of transaction cost,we give the game analysis to the family farm financing mode selection.we mainly choice three financing modes — “family farms+financial institutions”,“leading enterprises(or agricultural professional cooperatives)+ family farms”and“financial institutions+leading enterprises+family farms”—for analyzing.Combined with Anhui ShuCheng x x family farm financing case analysis,we further verify the result of game analysis.Through the above theoretical analysis and empirical analysis,it is concluded that:first,the family farm which was registered,had complete financial information and led by government suits to choose“family farms+financial institutions”financing model;Second,the asset specificity of the family farm is stronger and it is engaged in the professional production,the product has a good sale but greatly influenced by the market demand,this kind of family farm should choose“leading enterprises(or agricultural professional cooperatives)+ family farms”financing model;“financial institutions+leading enterprises+family farms” financing model is more suitable for a family farm which develops in scale and has a certain brand influence,for the aspect of financing demand,it is applicable to the long-term and large financing needs of family farms.Based on the above analysis and conclusion,this paper respectively from the family farm,money supply and the government,puts forward some corresponding countermeasures and Suggestions.