Research On Financial Support Path Of Agricultural Mechanization Development

The Party Central Committee and the State Council have always attached great importance to agricultural and rural work.Theyput forward the strategy of Rural Revitalization.Agricultural mechanization can provide strong impetus for Rural Revitalization.It can promote the transformation and upgrading of agricultural production methods and improve agricultural labor productivity.It is also an important foundation for agricultural modernization.To realize the modernization of agriculture and rural areas,we must first realize the agricultural mechanization.Although agricultural mechanization has been promoted by technology and equipment for many years,the level of mechanization has made great progress.However,due to the differences in economic and environmental factors,the level of agricultural mechanization varies from place to place.The problem of insufficient unbalanced development of agricultural mechanization is gradually emerging.At present,the comprehensive mechanization level of crop cultivation and harvest in China is still less than 70%.There is still a big gap between China and foreign agricultural developed countries.In order to solve the problem of insufficient unbalanced development of Agricultural Mechanization,a lot of funds need to be invested in the purchase of advanced agricultural machinery and equipment,the construction of agricultural mechanization infrastructure projects and the cultivation of new agricultural operators.The main body of Agricultural operators and the farmers' own funds cannot meet the development of agricultural mechanization.It needs financial support from all sectors of society.After sorting out relevant literature on financial support for agricultural development and analysing the meaning of financial support,there are three financial support paths in the development of agricultural mechanization in China.They are agricultural credit,agricultural insurance and agricultural subsidies.But how effective are these three financial support paths in supporting agricultural mechanization in practice? Does they really promote the level of agricultural mechanization as expected? Which path is the most effective in supporting agriculture? At present,there are few journals,master's and doctoral theses to conduct empirical tests through quantitative analysis.Most of them are qualitative analysis about directly telling questions and making suggestions.Aiming at this problem,this paper uses the panel data of 31 provinces in China from 2004 to 2016 to empirically test the support effect and influence degree of the three financial support paths on the level of agricultural mechanization.It turns out that,different financial support paths have different support effects and influence degrees on agricultural mechanization.Agricultural credit,agricultural insurance and agricultural subsidies all have a significant positive impact on agricultural mechanization,but they have different degree of influence.Agricultural subsidies have the greatest positive impact on agricultural mechanization,agricultural credit has a moderate positive impact on agricultural mechanization,agricultural insurance has the weakest positive impact on agricultural mechanization.It shows that agricultural subsidies are still the most important path to promote the level of agricultural mechanization at this stage.Agricultural credit and agricultural insurance are just auxiliary paths.But in the long run,relying solely on government financial funds cannot meet the funding needs of agricultural mechanization development.Coupled with the downward pressure on the economy in recent years,the financial funds are also very tight.We must improve and perfect the comprehensive financial support system with bank credit as the leading factor,agricultural insurance as the guarantee and government financial subsidy as the driving force as soon as possible.We should give full play to the guiding role of financial funds and encourage financial institutions and insurance companies to continue to increase their support for agricultural mechanization.Empirical analysis explores the shortcomings of agricultural credit,agricultural insurance and agricultural subsidies in supporting the development of agricultural mechanization to advise government departments and financial institutions on optimizing financial support paths.It will help to make better use of agricultural credit,agricultural insurance and financial subsidies in promoting the comprehensive development of agricultural mechanization together.