| Shanghai's agriculture is undergoing profound reforms. As the converting of suburban agriculture to Urban Modern Agriculture has been in a key phrase, the adjustment of agricultural structure is given the top priority in the city's agricultural work. Being a typical question the combining micro-mechanism and macro impact together, the adjustment revealing the significant variance and even conflict, in choosing goals between government which takes into account macro factors and farmers concernings more with their own interest.Therefore, the one thing to be considered carefully lies in the promotion of the establishment and perfection of the market which helps coordinate relations between the two sides and find a compatible goal to create a win-win situation. Only when this problem resolved in a proper way that further development of Shanghai's agriculture is available.In this paper, the question was straightened out from both sides based on theoretical support, and then, a equilibrium point between farmers and government as well as microeconomic and macroeconomic was discussed, applying the popular theory in contemporary economics and game theory as a basic tool, combined with statistical and metrological analysis technique as well as some mathematical models in addition. The analysis was based on the five-years-data, 2003-2007, from Shanghai Agricultural Economical Operation Dynamically Monitored Information Management and Performance Evaluation System, aiming at resolving the problems between micro-mechanism and macro impact. In the following part of this paper, a discussion of the spatial structural evolution theories was carried out, based on which, together with the actualities and characteristics of Shanghai's agriculture, recommending spatial integrating solutions was provided, as well as the studies on balancing interests in different regions. Finally, a brief summary of the current situation of Shanghai's agriculture and the analysis based on different theories was made, some observes and policy recommendations were provided as well. The article is divided into seven chapters. Chapter 1: Introduction. This part is concentrated on the background and meanings of the research topic. It clarifies main related theories and domestic and international studies evolution, also introduces thoughts, structure, research methods and possible innovations.Chapter 2: Adjustment of agriculture. This part briefs evolution of agriculture and demonstrates the concept and connotation of agricultural structure and related characteristics. Then it tries to find different goals and strategies during the adjustment from both farmers' and governmental perspectives.Chapter 3: Game theory and functions and models in agricultural product. This part introduces game theory partially and other functions and studies theoretically on an analytic model.Chapter 4: Analysis on the structural adjustment of Shanghai's urban modern agriculture. This part reveals main problems confronting the adjustment. It divides the adjustment of agricultural structure into three levels from macroeconomic to microeconomic. It analyzes each level by using game theory and discusses the conditions and ways of realizing the balance with examples.Chapter 5: Spatial reconstruction. This chapter reviews the theories in agricultural spatial structure. It discusses structural characteristics urban modern agriculture and straightens out the evolution of Shanghai's agricultural spatial structure. Combining the theories, physical truth and location characteristics in Shanghai, it comes up with the integrating solution and studies on how to balance different regional interests during the execution.Chapter 6: Conclusions and suggestions on policies. This part concludes all analysis and makes some suggestions to policy setting.Chapter 7: The end part. It briefs some questions that are related to the topic but haven't been involved in this paper.
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