Comparative Research On Farmer's Non-Agricultural Income Of Different Regions

Since reform and opening-up, with the development of national economy, rural residents' income of our country has increased by times, and the living standard has improved notably. However, the concerned thing is that income disparity within rural residents is expanding gradually, which is not only an economic problem, but also a social and ecological environment problem. Therefore, in order to ensure the healthy development of national economy and social stability and progress, as well as all-around realize the goal of a relatively comfortable life, it is very important to explore the reasons of forming income gap within rural residents, to put forward the method of narrowing the gap and solving the problem.In developing countries, non-agricultural operation and non-agricultural income occupy very important position in the development of the rural area. Non-agricultural activities can influence the rural economy from many kinds of channels. At first, the rural non-agricultural industry can offer a large number of employment opportunities, absorb surplus labors, alleviate the pressure of population to land, and help barren areas go out of the vicious circle of "poverty—overexploitation—ecology worsening—poverty". Secondly,Non-agricultural activities can significantly increase family income, strengthen the ability that farmers invest in agriculture, and reduce the fluctuation of income to make farmers adopt those big risk but high payback agricultural technologies, which can promote traditional agriculture to transform into modem agriculture. Moreover, the non-agricultural income provides an important source for rural families' savings, and makes diversification of family operation. Those families that participate in non-agricultural activities have strong abilities to resist some impacts, such as drop in agricultural production, price fluctuation and so on. In addition, a lot of research indicates that rural non-agricultural activities exert important influence on income distribution. The research results depended not only on the social position of the family and the type of non-agricultural activity, but also on research approach and area. Most research results indicate the distribution of non-agricultural income is un-uniform as compared with agricultural income. While improving rural income on the whole, the participation of non-agricultural activities may aggravate the income disparity, especially in poor areas.China is a large agricultural country, whose society is of the typical characteristics of dual economy. Because of large quantity of population and relatively limited cultivated farmland and other resources in the rural area, the per capita agricultural income has been in very low level all the time. Under this situation, the rural non-agricultural industry is of great significance in absorbing agricultural surplus labor and raising farmer's income. Economic reform started at the end of the 70s of the 20th century, especially the implementation of a system of contracted responsibility linking remuneration to output, has brought a leap to the development of rural non-agriculture, which has greatly promoted economic development of rural area and family income, and has made non-agricultural income become more and more important in the gross income of the rural family. But meanwhile, some research shows that the inequality of the rural income has been sharpened notably since reform, and one of the main reasons is that non-agricultural income share rises.Based on the reasons discussed above, this dissertation is mainly aimed various regions of our country (Province Border and the Three Economic Districts) to analyze fanners' non-agricultural income. Firstly, the discrepancy-estimate index is chosen to estimate the discrepancy of farmers' non-agricultural income among regions, to analyze its horizontal and vertical change pattern. Following that, the Thiel Entropy Index Model of the regional disparity of non-agricultural income is structured to decompose regional disparity of farmer's non-agricultural income in our country, to analyze the contribution of the disparity among regions and within region to the total disparity. Next, the disparity relation between China's regional economic growth and farmer's non-agricultural income is discussed. The results suggest the disparity relation is satisfied with the law of Kuznets "reverse U "curve. Furthermore, the causes of formation resulting in farmer's non-agricultural income disparity among the whole country and the Three Economic Districts are analyzed by adopting panel data. Meanwhile, on the basis of this, farmer's non-agricultural income functions of different regions are developed and compared. Finally, in order to research the farmer's non-agricultural income deriving from working outside, one area in Shanxi is chosen to carryy out an empirical analysis. On the basis of it, the farmer's non-agricultural income between regions of our country is compared, then conclusions are drawn and the suggestion is given.