Development Of Agricultural Policy Finance And Its Effects On Agricultural Economic Growth

Rural policy finance plays a more and more important role in the rural economic growth,which can solve the problem of rural financial market failure,and is the key to solve the problem of rural economy in our country.Different from the rural commercial finance(in the pursuit of profit maximization as the business goal),agricultural policy finance has the support,adjustment and guidance of agricultural production.China's agricultural policy finance is still in the development stage,although some show the role of agriculture but also a dilemma:for example,the funding structure of the Agricultural Development Bank has some problems,and its ability of sustainable management is poor.The shortage of branches and personnel lead to the shortage of loan coverage,and the supervision mechanism and internal control mechanism need to be improved.Based on this,this article will select the agricultural policy finance as the research object,the research of agricultural policy finance to agricultural production,efficiency and allocative effects and to promote rural economic growth to provide policy support.First of all,with the method of descriptive statistics,from the perspective of agricultural policy finance business,credit scale,source of funds,management,personnel,institutions,this paper examines experience in the process of the development and analysis of possible problems in recent years.This article believes that the current agricultural policy finance of the loan business is too simple and general,and lack of regional differences.In addition,the effect of Agricultural Policy Finance on agriculture needs to be further confirmed.Then,using the data from 1996 to 2013,this paper empirically studies the impact of Agricultural Policy Finance on agricultural economic growth through the static panel econometric model.Results show that agricultural policy finance growth rate and the total output value of agriculture growth rates are synchronous,namely the growth of agricultural policy finance scale to total agricultural output value has significant positive effect,but this effect has obvious regional differences,in some backward economic development,natural environment is very bad in the effect of relatively weak(such as the western regions).Therefore,the function of agriculture policy finance in China has not played a full play,and its financial support services to agricultural economic growth still have a large rise space.Agricultural policy finance has a boost to the output value of farming,forestry,animal husbandry and fishery,but with the growing industry,and the effect of different areas is quite different.The eastern region with the highest efficiency of funds,the central region with the highest efficiency of fishery funds,the western region with the highest efficiency of forestry funds.Then,this paper uses the DEA method to measure the production efficiency index and green production efficiency,respectively,from three aspects of the green productive efficiency of agricultural policy based on agricultural economic growth mechanism.We find that the agricultural policy oriented finance played an active role in improving the efficiency of agricultural production in our country,but in terms of the green production efficiency,the agricultural policy played an active role in the eastern region,and played a negative role in the western region,and the impact was not significant in the central region.In the eastern and western regions,the positive effects of agricultural policy finance to the green production efficiency index is mainly achieved by improving the production and technological progress in agriculture and its impact on the efficiency of production technology is not significant,the credit investment does not alter the efficiency of agricultural production,but will change the level of agricultural production technology.Among them,agricultural credit investment in the eastern region has a positive impact on technological progress,and the impact is significant,in contrast,in the western region,the impact is significantly negative.Then we also find that the agricultural policy's investment on grain had a negative effect on green production efficiency in western and central region.But the investment on infrastructure played an active role in improving the efficiency of green production in eastern.Finally,this paper provides simple policy recommendations.First,we should consider the regional differences and take the dynamic adjustment.Second,we should expand the infrastructure investment,enhance the endogenous growth capacity.Third,we should pay attention to the agricultural technology progress and improve the efficiency of agricultural production.Last but not least,based on the idea of green productivity,we should focus on green production and promote the sustainable development of agricultural economy in many dimensions.