| Thanks to the upgrading of economic construction and advancing of infrastructure construction in rural China and the in-depth implementation of the rural revitalization strategy,farmers in the countryside have access to more employment and business opportunities,and the production and living security level has been continuously improved,which is attracting a large number of rural labor force to choose to stay in the countryside.Office of the Leading Group for Rural Affairs of the CPC Central Committee made it clear in the Opinions on Expand Effective Suggestions on Expanding Efficient Investment in Agriculture and Countryside Vigorously to Supplement the Prominent Weak Aspects in Terms of Agriculture,Rural Area and Famers that economic and social development and COVID-19 epidemic prevention and control work should be comprehensively promoted and the priority status of agricultural and rural development should be determined.In this context,the study of rural development related issues has important strategic significance.Rural fixed asset investments(FAIs)play an important role in improving rural production and living conditions,increasing employment opportunities and farmers‘income and promoting rural economic growth.Although the total amount of rural FAIs in China is growing,the unreasonable problems in the main body and type of investment structure are quite prominent.It is because that during a certain period of time,the total amount of FAIs obtained by rural areas is limited,which is unable to meet all the investment needs of investment subjects and unable to reasonably invest in different types of investment.In other words,there are financing constraints between different investment subjects and different types of rural FAIs.Different investment entities have different investment behaviors,investment efficiency and ability to obtain funds.And the effect of different types of investment on rural FAIs also depends on the investment behavior of investment subjects to a certain extent.Although each investment subject hopes to find a way or channels to realize the maximization of investment effect,different investment subjects when making the investment decisions face various incentive mechanisms and investment behavior is influenced by kinds of factors.So,the investment structure and investment on the capital allocation are also quite different.The effect of rural FAIs can be maximized only if the investment subject allocates the limited funds reasonably.Therefore,it is the top priority in promoting rural economic development to clarify the difference of the investment effect of different investment subjects and types of rural fixed assets,and then find out whether the current investment structure is reasonable,how to allocate the investment proportion according to the investment effect and how to improve the investment efficiency.The paper mainly focuses on the economic effects of FAIs in rural China from the perspective of structure.The main research contents include:(1)Based on the Cobb-Douglas production function model,the structural model of rural FAIs is constructed.At the same time,it further explores different structure types of rural fixed assets investment in the rural economic growth and increase of farmers‘ income in the mechanism and effect of the difference from the investment decision-making behavior,incentive mechanism,institutional factors and financial constraints.(2)It investigates the periodical characteristics of rural FAIs and the regional differences in the total amount of investment,the main body of investment,the source of capital and the industry of investment.(3)The direct effect and spatial spillover effect of rural FAIs are analyzed,and a two-regime spatial Durbin model(SDM)is introduced for empirical analysis to reveal the effects and spatial differences of rural FAIs of different investment entities in the two important ten years after the reform of market economy(1993-2002 and2003-2012).(4)Via using the cross-sectional data of China Family Panel Studies(CFPS)in 2014,the least square method under robust standard error is used to test the effect of four different types of investment on FAIs and further explain the influencing factors behind it.(5)Based on the research conclusions of this paper,the current situation of FAIs and rural financial background,it puts forward policy suggestions that can promote the optimization of FAIs structure and significantly improve the investment efficiency,and discusses the possible shortcomings of the essay and the direction of research prospects.In the paper,the economic effects and its differences of rural FAIs with different investment structures are investigated by combining theory and demonstration using macroscopic and microscopic data.In contrast to the present related papers,there are pilots innovations on the following aspects.(1)The paper model constructs rural FAIs structure model ground on the Cobb-Douglas Function,and from several aspects that rural FAIs decision-making behavior,incentive mechanism,institutional factors,capital constraints of FAIs,explains the effects of different structures of investment subject and kinds of investment structure in the countryside.Most of the existing literatures are directly based on the investment-growth theory to study the direct impact of the quantitative change of rural FAIs on rural economic growth,which lacks consideration of the effect of rural FAIs from the perspective of investment structure.Therefore,the theoretical analysis framework of rural FAIs effect based on the structural perspective constructed in this paper expands the theoretical analysis system of rural fixed assets research to a certain extent.(2)This paper constructs an analytical framework of the direct effect and spatial spillover effect of rural FAIs,and introduces a two-regime spatial Durbin model(SDM)to conduct an empirical analysis,and reveals the spatial differences of the effects of rural fixed asset investment in two important ten years after the reform of market economy.Existing literature is often just a single analysis of rural fixed asset investment effect directly or spatial spillover effect.Moreover,in the study of spatial spillover effect,it describes positive or negative external overflow on the total amount of rural FAIs,which rarely further reveals the spatial difference of rural FAIs.Considering of the research method,we usually only use common spatial Durbin model(SDM).Therefore,the research in this paper further enriches the analysis framework of the effect of rural FAIs,and the two-regime SDM established is also a useful supplement to the current research methods.(3)Based on the micro data of CFPS2014,this paper analyzes the difference of rural FAIs effect of different investment type structures,and analyzes the difference of investment subject‘s investment behavior in different investment type structure.This difference has various impacts on the investment effect.Existing literature often analyzes whether the effect of investment subject‘s behavior on rural FAIs is significant based on macro data,but does not further explore the influence of investment subject‘s behavior on the micro level.Therefore,the research results of this paper may be a useful supplement to the existing research contents.The main conclusions of this paper are as follows:(1)There is a huge difference in the allocation of FAIs between urban and rural areas,and the development of FAIs in rural areas is not yet balanced.Among them,the eastern region accounted for the largest proportion of the total rural FAIs with a larger and faster growth rate.The share of central China,western China and northeastern China was lower in turn,and showed a trend of continuous decline.From the source of funds,the main source of rural FAIs is self-raised funds,among which the central and western regions,especially the western regions,receive the highest proportion of investment from the state budget.The industries of rural FAIs mainly involve real estate,manufacturing and agriculture,forestry,animal husbandry and fishery,among which the real estate investment has the highest proportion,especially in the central region.(2)The results of the macro empirical study show that the per capita net income of rural residents and the per capita agricultural added value have a significant positive spatial spillover effect,and the size of the spillover effect has regional differences.Different investment subjects have different investment effects.The investment effect of rural collective is relatively lower than that of rural households,and with the passage of time,the investment effect of rural collective FAIs on farmers' income growth is gradually weakened.In addition,farmers‘ FAIs are significant to the growth of per capita agricultural added value,but the result of collective FAIs is not significant.The spatial spillover effect of rural collective FAIs on rural economic development was significantly negative in the first decade of the sample(1993-2002),but not significant in the second decade of the sample(2003-2012).In contrast,the spatial spillover effect of household FAIs on rural economic development is significantly positive.Therefore,it is because of the different resource allocation characteristics and supervision incentive mechanisms of the investment subject that the investment effect of rural economic development presents the characteristics of differentiation.The direct effect and spatial spillover effect of farmers‘ FAIs are higher than that of rural collective FAIs because of the significant characteristics of market allocation of resources and a sounder incentive and constraint mechanism among farmers‘ FAIs.(3)From the results of micro empirical research,firstly,the regression coefficient of agricultural production investment is significantly positive,and at the level of 10%passes the significance test,which shows that water conservancy and irrigation and other FAIs directly related to agricultural production have significant investment promotion effect.Secondly,the regression coefficients of investment in public services,rural education and rural collective economy are all positive,but they all fail to pass the significance test,which indicates that the above three types of rural FAIs do not play a sound investment promotion effect.The results of micro empirical research show that different types of rural FAIs have different effects.The active participation and effective supervision of rural households can improve the investment efficiency of rural fixed assets.Therefore,agricultural production investment that is closely related to agricultural production has higher investment efficiency and can significantly promote the growth of rural household operating income.And public services such as rural communication traffic investment,education investment,and the collective economy,because of the top-down decision-making behavior,lack of supervision and incentive mechanism,low participation of farmers causes its low investment efficiency and utilization rate.The final result is the investment effect is not as expected and fails to have very nice investment promotion effect.(4)Rural FAIs can significantly promote rural economic growth.But compared with cities,rural FAIs have grown at a slower pace.Therefore,on the basis of expanding the scale of rural FAIs,it is required to persistently optimize the structure of FAIs,rationally allocate the limited funds to different investment subjects and different types of investment,and promote the maximum effect of FAIs.Accordingly,we propose the following policy recommendations:(1)narrow the whole social FAIs gap between urban and rural areas,lacking rural fixed asset investment,and give full play to the function for the government and the effective market,expand the scale of rural FAIs and improve the efficiency of investment,give full play to the economic simulative effect of investment in fixed assets to promote the integration of urban and rural economy and rural revitalization.(2)optimize and foster the subject of investment structure,market plays key role when it comes to resources allocations.transform functions of governments at all levels of investment in fixed assets in the rural areas,adhere to the farmers‘ demand as the guidance,stimulate the investment enthusiasm of farmers,the agricultural investment subject;while improving investment efficiency,promote the rural financial service system,guarantee investment ability of rural investment subjects.(3)Optimize the structure of investment types to maximize the investment effect including improving the rural public service type of FAIs decision-making mechanism and supervision mechanism,improving the rural infrastructure investment efficiency and utilization rate.Optimiz the allocation of rural education resources,introducing and retaining talents for rural development and Rural Revitalization.Increase investment in agricultural production,changing farmers‘ investment preference to shift the focus of farmers' FAIs to agricultural production,improving the long-term investment mechanism of agricultural production,consolidating its key position.Enhance the efficiency of rural collective economic organizations and study new development models for collective economic development. |
PDF Full Text Request