Research On The Institutional Innovation About Supply And Demand Of Chinese Rural Public Goods

China is a developing agricultural country, agriculture is the foundation of national economy. Agricultural development, rural progress and the lives of farmers improving are all closely related to the effective supply of rural public goods. In recent years, "three rural" issue of china has the main features:the slow development of China's agriculture, the fierce rural social contradiction, the slow growth of peasant incomes, which is caused by the supply-demand imbalance of the rural public goods. This problems has seriously affected the sustainable coordinated development of economic and society.The party and government continue to increase input into agriculture in recent years,especially since 2004, our country has issued seven central "One File", which has clearly required in accordance with urban and rural development, the implementation of industry nurturing agriculture and cities supporting rural areas and "giving more, taking less and liberlizing more" approach in order to consolidate policies about supporting and benefiting agriculture, effectively increase investment in agriculture and rural areas, accelerate the agricultural and rural infrastructure construction development. Although there have been some rather remarkable results, but has not made long-lasting and fundamental breakthrough. Therefore, the urgent need for new institutional arrangements is to solve the contradiction between demand and supply of public goods in rural areas. This article is an attempt to explore the causes about supply-demand imbalance of the rural public goods from the perspective of institutional innovation and find the solution of promotion of coordinated development.This paper has the relation demand and supply of rural public goods as the research object, comprehensive use of the basic theory and method about finance, public economics, institutional economics, information economics, implant major research methods such as the combination of theoretical and practical analysis, normative and empirical analysis and historical and comparative analysis of combined. According to "Theory probing-practical analysis-policy design" of the path, the paper sets up analysis system:the Basic Theory of Rural Public Goods-the Supply Analysis of Rural Public Goods-the Demand Analysis of Rural Public Goods-the Supply and Demand Analysis of Rural Public Goods-the Historical Comparative Analysis of Institutional Arrangements about Chinese Rural Public Goods-the International Comparative Analysis of Institutional Arrangements on Rural Public Goods-the Institutional Innovation System of Coordinating Supply and Demand Relation of Rural Public Goods. The full text is divided into eight chapters by this logical thinking.Chapter one:the Introduction. This part firstly discusses the background and research significance of this article, then cards the relevant literature about the supply and demand of rural public goods. At the end of this part, the research ideas, methods, content and structure, major innovations and shortcomings are briefly described.Chapter two:the Basic Theory of Rural Public Goods. This chapter firstly expounds the meaning of public goods, on the basis of which rural public goods has been defined. The rural public goods is the general goods or services for farmers, rural and agricultural development, which has features:the non-exclusive, non-competitive, and the spill-over benefits within the rural area. It is not generally provided by individual farmers, but is essential for social and economic development, and embodys the common interests of all the rural residents. Then multilevel nature,high dependency, strong regional and other characteristics of rural public goods are analyzed. Lastly, the part classifies rural public goods by the characteristics, range of benefits, the forms and functions of rural public goods.Chapter three:the Supply Analysis of Rural Public Goods. This chapter firstly expounds the meaning of suppy for rural public goods, and then compare the government supply, market supply, voluntary supply and PPP supply modes in the decision-making mechanism, using mechanism, financing mechanism and the incentive and restraint mechanism. Then the part discusses the factors:the basic properties of rural public goods, demand and technological conditions, the main supply and institutional environment, which affects supply of rural public goods. Finally, This chapter analyzes the supply situation of rural public goods and draws some questions:the lack of total amount, structural imbalance and injustice in urban and rural issues and so on.Chapter four:the Demand Analysis of Rural Public Goods. This chapter firstly expounds the meaning of demand for rural public goods, then analyzes the demand characteristics for rural public goods:differences, superposition and dynamic. Then the part analyzes the affecting factors of demand about rural public goods, such as the level of the rural economic development, economic system and mode of production, rational expectations of farmers, the social characteristics of farmers and cost-sharing requirements. Then the part discusses preferences for expression mechanism of rural public goods and analyzes some questions about China's current demand for rural public goods:low level, non-fluky management and high cost for information collection. Finally, This chapter concludes the order of public goods:infrastructure, health, technical information services, rural education, social security and cultural and recreational facilities by learning the results and the questionnaire.Chapter five:the Supply and Demand Analysis of Rural Public Goods. This chapter firstly analyzes the supply-demand balance of rural public goods by reference the supply and demand equilibrium theory, then draws the enlightenments on the effective supply of rura public goods in China. Then this part analyzes the formation mechanism of the supply-demand imbalance of rural public goods. Finally this chapter analyzes the causes of rural public goods supply-demand imbalance:urban-rural dual economic structure, tax sharing system, government "economic man behavior" and "top-down" decision-making procedures, and lack of organizations that represent and express farmers own needs and self-interest in order to provide the basis for innovation system of coordinating demand and supply of rural public goods.Chapter six:the Historical Comparative Analysis of Institutional Arrangements about Chinese Rural Public Goods. This chapter mainly analyzes and compares the socio-economic environment, decision-making system, financing system and the characteristics of production and management system during three different periods:the commune period, the household contract system and after tax reform period, then concludes the reflections of institutional arrangements of rural public goods:the peasants are pushed the main supply of rural public goods because of the foreign-based financing system, farmers can not express the real needs of rural public goods because of "top-down" decision-making system, and farmers enjoy the level of public goods and services tending to decline because of the lack of government investment.Chapter seven:the International Comparative Analysis of Institutional Arrangements on Rural Public Goods. In the first, this chapter analyzes the institutional arrangements of rural public goods about United States, Japan, Germany and other developed countries, then analyzes the institutional arrangements of rural public goods about South Korea, India, Brazil and other developing countries. Finally, this part concludes reference and inspiration from the successful experiences of these countries on the institutional arrangements of rural public goods:increasing government input in rural public goods; scientific supply division of responsibilities of different levels of government expenditure range; establishing the government-led rural diversified investment pattern of public goods; paying attention to the real needs of farmers in rural public goods investment decisions; strong developping the rural cooperative organizations in rural areas and full playing its role in the supply of rural public goods.Chapter eight:the Institutional Innovation System of Coordinating Supply and Demand Relation of Rural Public Goods. This chapter mainly describes the system innovation strategies about the coordination of supply and demand of rural public goods:establishing and improving the rural public finance system; building demand-driven system of rural public goods; building the government-led diversification of supply pattern of rural public goods; innovating the decision-making system and supervision and management system of rural public goods.The innovation of this article maybe mainly due to:1. Currently the researchs on the supply of rural public goods are relatively more, and most of them are normative analysis, researchs on demand are relatively small. So this paper attempts to considers both supply and demand, and investigates rural public goods systematically and developpingly analytical study by the combining method of the normative and empirical analysis for laying the foundation for system innovation about the coordination of supply and demand of rural public goods.2. Perfecting the supply model of rural public goods, that is:government supply, market supply, voluntary supply and PPP supply. And analyzing and comparing the main supply of the four models:decision-making mechanism, using mechanisms, financing mechanisms and incentive and restraint mechanisms. Each model has its advantages and disadvantages. To promote the effective supply of rural public goods, we should insist on the leading position of government supply, and strengthen market supply, voluntary supply and PPP supply simultaneously, and give full play to the comparative advantages of various supply models. 3. By means of dealing with the representative results and the questionnaire about the willingness demand of rural public goods scientificly and reasonablely, this chapter concludes the order of China's rural public goods:infrastructure, health, technical information services, rural education, social security and cultural and recreational facilities.4. Building the reasonable system arrangement of rural public goods by means of the objective demand of famers. This paper analyzes supply and demand about the rural public goods from the perspective of demand-supply balance comprehensively and profoundly, based on focus on supply and demand analysis of rural public goods in order to establish a demand-oriented supply system of rural public goods.5. On basis of the theoretical and practical analysis, combining the current macro-economic changes in the social environment, the paper clearly propose that the key question lies in institutional innovation to coordinate the supply and demand of rural public goods, focusing on establishing and improving the rural public finance system, building demand-driven system of rural public goods, building the government-led diversification of supply pattern of rural public goods, innovating the decision-making system and supervision and management system of rural public goods.Although this study has made many gains, because of the complexity and the relative data difficult to obtain of supply and demand question of rural public goods, and the author of the capacity and time constraints, there are still some deficiencies and shortcomings. For example, quantitative analysis of this part to be further strengthened; lack of the cost and benefit quantitative analysis about coordination innovation system of rural public goods; China's land has the nature of public goods or not, and so on. These need to further exploration and research in the future work and study.