The Study On The Model Of Rural Infrastructure Investment Combination

Rural infrastructure is the general term for the development of production and toensure that farmers living in rural areas and the provision of public services andfacilities. Rural infrastructure combined investment is invested in rural infrastructureexisting model elements combined with restructuring. External characteristics of ruralinfrastructure, property and ownership attribution, effective organization and effectiveborder Walrasian equilibrium and Pareto optimality, public finance and other issues ofrural infrastructure is an important factor affecting the combined investment.The purpose of rural infrastructure combined investments that integrate and broadenthe investment channels, to change the situation of a single investment entity, open tothe public capital investment, investment diversification pattern formation, exertfinancial leverage, driven by the active participation of private capital. The overallframework of this idea, there are three important components: the central and alllevels of government, businesses and individuals, other economic organizations.Government is the main investment is the supervisor of investment activities. Throughthe classification of construction projects and the construction process of the propertysegment to determine the government in various stages of investment activity in theresponsibilities and levels of government need to accelerate the balance within theproperty and property rights, rational division of labor, businesses and individuals inthe field of infrastructure construction in rural areas, as private capital into them.While broadening the sources of funds to ease the pressure on government finances,but because of its own characteristics to chase profits in the construction processrequires government oversight to ensure the orderly conduct of rural infrastructure,farmers can enjoy normal public services. Other economic organizations, also knownas economic instruments, suitable for rural infrastructure as mostly low-qualitycapital to guarantee the credibility of the government’s cost, long cycle of government bonds, special funds and other financial organizations or government aid.Such injection of capital, the need for professional management team and improverural financial markets to ensure specificity and efficiency of investment funds.According to the first theorem of welfare economics, government, businesses andindividuals, other economic organization as holders of capital infrastructure, such asenergy and the initial capital for the resources held by the right to use voluntarytransactions, build rural infrastructure facilities capital and investors a competitivemarket, to achieve Walrasian equilibrium, then the Pareto efficient allocation mayhave appeared.Rural infrastructure itself is an integrated system that is different from the mode ofproduction involved in the construction of rural production. Most of our existing stock,bond investment fund size is small, but the huge funds required for the construction ofrural infrastructure, with reference to foreign investment and financing experiencewith China’s rural reality, the development of rural infrastructure investment fundindustry better able to adapt to rural production life needs of rural infrastructureprojects to be industrialization and mercerization can introduce special industrialinvestment fund for rural infrastructure industries listed companies do not providedirect capital support. These parts of the infrastructure generally have some degree ofnatural monopoly, a large initial operating costs and low marginal cost of new users.Direct economic sense to invest in this industry is the existence of economies of scaleand scope economies, investors or property owners have market dominance.Rural infrastructure combined investment and restructuring help to improveinvestment efficiency ease the current tight financial situation. Due to the nature ofinfrastructure investment, the use of Makeweici mean-variance model, obtainedunder different conditions to achieve optimal choice or minimize risk for a given levelof earnings expectations. It is not only obtained by optimal combination of economictheory, but also to adapt to the development needs of rural areas, the combined effectof the principle of optimal combination of the two: the need to adapt to local ruraldevelopment, help to improve the living standards of farmers. Combination modes are available for reference: Industrial Park-led, market-oriented operation type,multi-body joint participation, large project oriented, demand-led business type.Through a combination of investment and construction, faster and more effectivelypromote the smooth progress of rural infrastructure investment, thereby promoting thedevelopment speed of China’s rural areas, improve the level of infrastructure andliving conditions of farmers.