Research On The Impact Of Agricultural Development In Vietnam On Economic Growth

Sustainable economic growth with high speed is a part of targets for all nations.We need to establish a reasonable economic structure and determine the relation between the different economic parts to achieve this target.The economies of different nations have been established by various manufacturing.Each structure correction and each optimal way for manufacturing always has particular laws and probably influences the macroscopic changes of socio-economic background.This process will very likely create new economic models and put forward specific measures for economic structure transfer in order to impulse economic growth.To ensure qualitative growth bases on the capital source(K),labor source(L),science and high technology and manufacture models with high effect(TFP).To establish rational economic structure,all economic parts have to combine to develop effectively advantage conditions for nation,guarantee effective and sustainable economic growth and ceaselessly raise the living standard.In recent years,agriculture in Vietnam has played a basic important role in the development of market economy,and the acceleration of national industrialization and urbanization.Agriculture is the main industry to support economic growth and provide input for industries;it is also the important market to sell industrial products.Agriculture also creates foreign currency earnings to import the main source of raw materials for national industrialization and modernization.The development of rural areas and industries has significantly contributed in hunger eradication and poverty reduction movement to improve living standards,and stable socio-economic growth.Agricultural reform in Vietnam achieves expectation results but there are some limitations:Decreasing agricultural growth rate has influenced economic growth rate.The percentage contribution of agriculture has recently reduced.The association between agriculture,industries and services has been still low.All these things are causes to:reduce the effects of economic restructuring in Vietnam,increase the costs of inputs for Vietnam firms,decrease the effects of agricultural production,and reduce foreign exchange surplus.In addition,there are some basic limitations in the internal growth of agriculture.Recently,financial crisis has significantly influenced Vietnam economy.The trend of economic growth has slowed down;growth rate has been unstable;growth effect has been low.Growth has mainly depended on the input of growth factor in width;it has not entered growth factor in depth yet;growth effect has been low.The growth rate of industries and services is not enough to promote the convertibility of total economic structure.Therefore,current agricultural structure in Vietnam have to be corrected by correcting the economic structure of agriculture to:consolidate basic agricultural position,improve the overall agricultural production capacity,raise the quality and effect of agriculture product,increase social labor productivity,and boost national economic growth.In new stages,to optimize and correct industry structure for agriculture in Vietnam haveto confront new opportunities and challenges which involve new ideas and strategies to carry out the correction of agricultural structure.Consequently,to consolidate agriculture's position,we have to change the inherent irrationality of manufacture structure,gradually take shape a new manufacture structure for agriculture with powerful development.The main measures are applied to correct agricultural structure in Vietnam and to boost economic growth:1.The effect enhancement of agricultural production:increase public investments in agriculture,attract total social investment;enhance the management and use of the State budget,increase agricultural labor productivity;improve applied science and technology to transfer the economic structure of agriculture;heighten the value added of agricultural production,impulse the consumer market of agricultural product.2.The promotion of transfer for superfluous labor force in agriculture:encourage the transfer of superfluous labor force from agriculture to industry and service;instruct and support the transfer of labor force from agriculture to non-agricultural areas with high labor productivity;improve standard human resources in agriculture.3.The improved linkage between agriculture,industry and service:establish industry groups to supply raw materials for agriculture;build the system of machinery and equipment to service agricultural production;build and develop traffic system;have to be the harmony between urban project and rural project.4.The development of non-agricultural activities in rural areas:develop industrial firms through non-agricultural economic activities,more supply services for agriculture;effort to respond capital needs for non-agricultural economic activities;strengthen the promoting association of non-agricultural economic activities between regions and industries;expand consumer market in rural areas.5.The optimal solutions for economic institution in Vietnam:continue to perform the reform of institution system;heighten the effect of the State management in socioeconomic development;execute the policies and mechanisms of agricultural development,especially land policy.