A Study On China's Rural Land System

China's agricultural development is an extremely important and fascinating research field. Agricultural economists have been trying to explain such major theoretical issues as its dynamic and mechanism. The scholars have different ideas and perspectives, but they generally acknowledge fact that the basic system of the rural areas is the system of agricultural land, and the analysis and research on it is the most critical link to understand the development of agriculture. After the reform and open policy, significant changes have taken place in the development of agriculture with the spreading of the household contract responsibility system. We have no doubt on the previous knowledge proved in practices. This paper studies the system itself and other systems to interpret the reasons for the success. We also should make a deep exploration of the existing problems to help to solve all the problems and promote system innovation of agricultural modernization.Basing on the theory, especially the theory of agricultural land system in combination with the production theory, we set up the productive function. The paper studies and compares the efficiency, the respective advantages and the shortcomings of the three agricultural land systems through empirical research and the anti-history measurement method. We can find that the household contract responsibility system is indeed efficient relatively at a certain period of time, but it will be a low-efficiency system if its inherent problems can not be solved.The first problem of the current agricultural land system is the long-term investment. The game theory shows that the fuzzy property rights and its instability can't make the farmers form a long-term expectation. Quit or not, the investment is lower than the investment when the structure of property rights is clear and stable.The second problem is the agricultural land circulation and the scale of operation. These problems are closely related to three—dimensional rural problems. Also they are the main reasons for slow development of agricultural modernization. Changes in the circulation and the scale of operation in Foreign Countries and regions which have already realized modernization is a very good note. Construct a model of demand and supply, and apply this model to analysis on the agricultural land demand and supply in different systems. The results show that the fuzzy property rights and its instability led to the agricultural land circulation significantly reduced.The third problem is the effective protection of agricultural land and the protection of the legal rights and interest of the farmers in the rural-urban land transition. The existing land expropriation system and the fuzzy property rights make the land transfer price seriously lower than its real value, resulting in excessive expropriation and the interests of farmers aggrieved greatly.Reform experience in some countries and regions has provided us with an important revelation. Agricultural land system is a dynamic process of development. We should reform continuously with economic development; it is the only choice to construct the Agricultural land system with a clear property rights. Stable and predictable land-use right is an important feature of the system of efficient agricultural land.It is necessary to make innovation and reform to solve all the problems. This innovation and reform must make the benefit more than the cost; otherwise it is not worth the candle. This paper thinks that we should maintain the nature of collective ownership and the distribution pattern of the existing farmland contract management system and carry out the permanent tenancy of agricultural land. At the same time, it is necessary to reform the existing land expropriation system and other systems.