A Theoretical Research Of Policy To Grain Subsidy In China

The issue of "Agriculture, Countryside, and Peasant" is becoming the focus of central government' s economic policy. Being the core of the issue of "Agriculture, Countryside, and Peasant" is becoming the focus of central economic policy, the problem of peasants will be resolved by raising the peasants' income at first. While grain is stable and dependable resource of peasants' income in China, its importance is undoubted on how to raise the peasants' income. While grain subsidy policy is one of the transfer payment instruments of central government, its short-term object is to play an important role on how to resolve the issue of "Agriculture, Countryside, and Peasant" , and its long-term object is to reinforce the comprehensive agricultural productivity of China.This paper looks back to the progress of executing grain subsidy policy in China, analyses the reasonable and unreasonable factors of grain subsidy policy in all phases, and also brings up some suggestions on innovating grain subsidy policy. It is active and realistic to raise peasants' income, keep grain safety and resolve the issue of "Agriculture, Countryside, and Peasant" that what this paper talks about. This paper includes five parts. The first part is introduction, introducing the background information, meaning, methods and innovations of this research;the second one presents approximate changes of grain subsidy policy after PRC was founded;the third one introduces the current situation of performing direct grain subsidy policy and emphasizes unstable grain price and its Influence;the fourth one analyzes the reasonable and unreasonable factors of grain subsidy policy;the last one brings up some suggestions on grain subsidy policy. This paper concludes:( I ) Former grain subsidy policies had some shortages;( II ) Although current direct grain subsidy policy corrects these shortages to a certain degree, it is not very reasonable. Because its short-term effect is protruding, its long-term direction of policy is uncertain.(Ill) Direct grain subsidy policy and indirect grain subsidy policy should be performed by being combined.