The Study On The Rural Land Circulation Problem Under The Condition Of Asymmetric Information

“three dimensional rural issues” is a most common and long-term problem in mostdeveloping countries. Wen tie-jun (2009) said: In order to maintain a normal life Chinesefarmers not only need to work in city but also farming in the countryside. Therefore,farmers who are the vast majority of the China’s population have two “free” need to beprotected--not only need to freely to do business, but also need to be free to return homefor farming to make a living. Only to protect the two "free"--enter and exit, our socialcan maintain stability. Under this circumstance of agriculture by-business, it is need tosettle well the problems of rural land circulation, which directly determines the allocationefficiency and utilization efficiency of the contracted land in rural areas, besides,indirectly affect rural social stability and unity and national food security. It is useful thatrural land specification and reasonable circulate for positive effect on theindustrialization of agriculture, the scale management of agriculture, rural labor forcetransfer and balancing urban and rural development, etc. Therefore, the way ofgovernment guidance, social intermediary organizations involved, farmers who are inactive participation can promote land circulate for standardization and orderly, which is anecessary choice to solve defects of the household contract responsibility system, theoverall planning for urban-rural development and improving the rural land system are theinevitable requirement, which is an urgent need to solve the fundamental problem torealize the agricultural intensification, industrialization and modernization and constructthe new socialist countryside.The article analyzed our country’s rural land circulation problems from the macro andmicro two aspects, based on the date of statistical yearbook, rural management statistics,peasant household questionnaire survey and related department working summaryreports, etc, integrated used some asymmetric information theory of adverse selectiontheory, principal-agent theory, game theory and economic mechanism design theory, andused the methods of combination of qualitative and quantitative, the combination ofliterature research and empirical research, methods of the combination of theory withpractice. From a macro perspective, the article analyzed the following aspects such as themain institutional change of China’s land, the macro driving force of the status of theland transfer, effectiveness, problems and impact factors of land transfer. From themicroscopic point of view mainly analyzed some aspects as follows. Supply and demandinformation of circulate market, circulate information transfer mode, model of asymmetric information measure in land transfer, the impact of land circulation becauseof information asymmetry, analyzed interest relations of land transfer main body,analyzed adverse selection and moral hazard problems of land circulation in thecondition of asymmetric information, carried on empirical study in sixth chapterresearched in Hebei province as an example, on the basis of micro analysis. The articleestablished incentive and supervision mechanism to standard land circulation based onthe principal-agent relationship of land circulation and used incentive mechanismconstruction theory. The article main research conclusions are the following aspects.First, the change nature of the Chinese rural system is the rural land system changes,rural land circulation question is closely connected with our country’s land system,because of the change of our country’s land system to contribute to the development ofthe land circulation, there are several stage as free flow, restrict flow and standardizedevelopment. And it is because of the change of property right, land flow transitionbecame more complicated in China.Second, through analyzed of large amounts of statistical data, it can be seen that landcirculation had great change in our country. It has gradually developed standardized,contract specification level is gradually improving, circulation way from an initialsubcontract into a variety of ways, such as to lease, transfer, buy a share. The landcirculate purpose from the initial grain grow gradually developed to the planting ofeconomic crops planting, deep processing and the scale plant of the agricultural products.Circulation objects from simple flow between farmers increased variety of subject toparticipate transfer such as scale flow, unified management, the cooperative stockmanagement. But, with the continuous development of land circulation and due to theinfluence of various factors, such as imperfection of land circulation market, the landcirculation of information transmission lag, farmers have short-term economic interestspursue and lack of government regulation and so on, China’s rural land circulationemerged some potential risk, such as non-agriculturalization and non-grain oriented offarmland use could cause food safety risk, as well as ecological environment protectionrisk, by forced circulation could caused social risk and so on.Third, the article used multiple regression and curve regression analyzed statistic data ofpromoting land circulation factors such as economic factors, technology factors andinstitutional factors, the regression results show that driving force of promoting landcirculation as follows. The factors are land system constant change, rural economicdevelopment, the decline in the proportion of agricultural, the development of farmers’net income increase, agriculture development, the transfer of rural labor force, raising the level of agricultural science–technology and the development of agriculturalmechanization. Used methods of clustering analysis for30areas date of contribution ofagriculture, science and technology development level, construct circulation platform andcirculation ratio and so on. The result shows that land circulation presents differentregional characteristic in our country and the development of land information is animportant driving force of scale land circulation.Fourth, through analysis the situation of the information supply and demand of landcirculation, the condition of information transmission, the transmission way, the articleestablished measure model land circulation asymmetric information. The article set upthe principal-agent relations in land circulation, and based of this relationship, analyzedhide information action of agent before sign contract and hidden action of client aftersign contract, and the analysis result is information asymmetry could take several adverseimpact to the land circulation, it is land circulation quality cannot protect arable land, thelow efficiency of circulation and not rational allocation of resources, etc.Fifth, through the analysis of the benefit mechanism of land circulation main body,establish game equilibrium of farmers, between farmers and the collective economicorganizations. Equilibrium results show that the farmer main consideration circulationrent and labor transfer income, only have reasonable returns and well work after the landcirculation to flow; for translate into party mainly consider operating earnings, if they canobtain right operating earnings would land circulation; government main considerationeconomic income and reasonable contribution to the local economy, only achieves thebenefit game equilibrium between the main flow, land transfer can smoothly.Sixth, comprehensive thinking the analysis result of information problem and interest inthe land circulation, we can have several conclusion, it is that reasonable solutions rurallabor transfer is supply power of land circulation; consideration of the interests, largeland circulation has non-grain trend and non-agriculture tendency; due to interestsdriving the government departments often do some illegal flow and damage the interestsof farmers; considering of the cost of the supervision, the government departments oftenpoor regulation of flow behavior, causing some problems, such as corruption, changes ofland use, harm the interests of the farmers and countries and so on, formed the potentialrisk of food safety, social stability and ecological environment protection, etc.Seventh, above of all microscopic analysis, the article used mechanism design theory,based on the principal-agent relationship of land circulation, establish the standardincentive and supervision mechanism model of land circulation, the incentive factors show that agent optimal incentive intensity is related to his research cost, randomdisturbance item cost, effort cost, risk attitude and the ability to operate and so on, theprincipal should use buy a share and share-cropping to achieve the best incentive effect,and to establish supervision mechanism which is ask system, examine the qualificationsof the owner, improve the comprehensive punishment mechanism.Eighth, under the foundation of macro analysis and micro analysis, combined with thepractical situation of rural land circulation in our country, put forward the followingpolicy recommendations, such as strengthen farmers’ vocational and technical training,establish the information system of rural land circulation, improve relevant policies,strengthen training of the rural vocational education, develop greatly trusteeshipmanagement of land and so on.