Analysis Of Central Government Investment In Agriculture In China

Agriculture is the foundation of national economy, because of the characteristics of weak industry,the external investment has important influence on its development, and especially the governmentinvestment plays a vital role. In recent years, the increasing investment in agriculture from Chinesegovernment has strongly supported the development of modern agriculture. However, some problemsexist in agriculture investment such as the lack of investment, unreasonable investment structure;defective management system, etc. are needed to be improved by integral analysis and research.In this paper，qualitative analysis and quantitative analysis methods are combined to investigate thescale of investment, the structure of investment, the system of management, and some other aspectsbased on the literature review, data collection, and questionnaire. Then, some targeted policies aresuggested and put forward to the problems to optimize the utility of the government investment. Thus,the development of modern agriculture could be promoted. The main content and conclusions of thisresearch are as follow:(1) A summary on the experience and practice of developed countries by analyzing the quantityand structure of investment, key areas, and the management system in agriculture of major developedcountries, the conclusion that a continuous increasing investment in agriculture in the process of andafter the agriculture modernization is found in the USA, EU, and Japan. Structurally, fixed assetsinvestment has a great proportion in agriculture investment; and the investment is concentrated in crossregional, public welfare, and the infrastructure field.(2) An elaboration on the classification and characteristics of Chinese agricultural investment. Inrecent year, the central government continued to expand the scale of agricultural investment in China;however, its proportion in the expenditure in “Three Rural” is still small and has been decreased. Fromthe sight of optimizing the central government’s "Three Rural" expenditure structure, promotingagricultural development, and ecological security, the central government investment in agricultureshould be looked as the major growth part in the future.(3) An analysis of the central government agricultural investment structure in china. At present, thecentral government investment in agriculture has the problems of numerous special investments,scattered and disordered investment, issues of overlapping. The boundary of agriculture need to befurther clarified; and the structure should be further optimized. Through the rational division ofgovernment and market, as well as the central and local governments, the investment in agriculture bycentral government should focus on the fields which are cross-regional, inter-basin, cross-industry,involving major layout, and structural balanced. We should also focus on innovation of agriculturalscience and technology, the construction of public service system, natural disaster relief, andenvironmental protection etc.(4) A discussion on how to improve management system of central government’s agriculturalinvestment. After years of developing, management system of our agricultural investment have made significant progress. Companies and individual farmers took major place in investment, which speed upscientific process of government’s agricultural investment system. However, this decision-makingsystem needs further improvement; management responsibility should be clear; a rule that specifiesways of investment and management procedure is needed; Legal guarantee system and perfectperformance evaluate system need to be improved.(5) Put forward the optimization of policy recommendations for agriculture investment by thecentral government of our country. In the next step, investment in agriculture by central governmentshould be continued to expand the scale on the basis of optimizing the structure, and centralizemanagement functions of agricultural investment by government and integration of the field ofinvestment, to accelerate the performance of project investment.