| As the core of the "three rural issuses", farmers income are essential to our country's macroeconomic development and harmonious socialist society construction, which has long been the top priority in recent government work and academic world. The continuous 6 years' "central first documents" emphasize its importance. Most of previous literatures make a lot of research on the factors affecting farmers incomes based on the overall conditions of the country, but little empirical analysis of interactions between farmers incomes and financial and fiscal support for agriculture in China's western regions. However, in the face of reality that the dual structure in urban and rural economy and the gap between regions is still widening, farmer groups in the western region have become vulnerable groups in the backward areas, as the object in most need of financial assistance and policies.On the other hand, under the background of "balanced development" policy to reduce and bridge the economic gap between eastern and western regions, the Triangle Economic Zone of Western China, based on the axe of Chengdu, Xian and Chongqing and sphere of Sichuan, Shanxi and Chongqing, will become the China's fourth economic growth pole,and further to the economic development of the entire western region. The proposition formally entered the planning stages after the second session of National People's Congress in March 2009.For this purpose,combing all the relationships between farmers income and financial and fiscal support for agriculture, increasing agricultural population's(over 3/4 of the total population) income faster, will become the most realistic and practical issues in the near future. This paper empirically studied the relationship between farmer income and financial & public financial support to agriculture based on the time-series data of 1985-2007 from Sichuan, Shanxi and Chongqing. The research provide further empirical basis in the argument in the economic development of the Triangle Economic Zone of Western China or the entire western region. This article will discuss the content is divided into introduction and four chapters, the first and second chapter for the theory part of the third chapter for the empirical research part of the fourth chapter of conclusions and policy recommendations. Main content summarized as follows:Introduction section, focuses on topics of the background papers, topics of purpose and meaning, discourse structure, the theoretical basis and research methods, innovative points and deficiencies.The first part of the literature review on the theory of dynamic domestic and international research and recent developments reviewed.The second part, describes the theoretical basis of this article, model derivation, data sources and research methodologies.The third part, through the measurement tools "West triangle" financial and fiscal support for agriculture in the economic efficiency of empirical research.Part IV, this article's conclusion of further discussion and policy recommendations.Based on the empirical results, we will draw suggestions and policy enlightenments to promote the role of financial and fiscal support for agriculture in increasing farmer income as follows:First, continue to strengthen financial and fiscal support for agriculture. Agricultural credit from financial institutions and government's financial support for agriculture increase peasants'income steadily in the long term. Therefore, rural financial institutions should actively explore financial innovation, and design appropriate financial products to enhance the level of credit, according to the different characteristics of the farmers of customers, the credit period, amount, ways to repayment, etc; financial support for agriculture based on the abolition of agricultural tax, the function of the transfer payment should be further enhanced, while increasing the budget for production and agriculture-tech project to make up for the lack of funds in upgrading the agricultural structure.Second, optimize of the structure, function and institutional arrangements of financial support for agriculture. On one hand, clarify functions of commercial, cooperative and policy-oriented finance in the field of agricultural support, and reduce operating risk of formal financial institutions through government guarantees, interest subsidies and compensation, etc. to reshape the rural financial market entities and thus to guide the repatriation of huge amount of rural capitals; on the other hand, in view of the positive role of informal finance in improving resource allocation of rural areas, to promote the standardized growth of non-formal financial to grow and increase its freedom in agricultural support, based on the enhancement of risk supervision.Third, improve the efficiency of fiscal support for agriculture. In the view of greater contribution of fiscal support for agriculture to the income growth of farmer in the future, the efficiency should be further enhanced as well as the level of fiscal support for agriculture:firstly, streamline the bloated agriculture-related institutions,increase turn-based and technology-based agricultural production costs while reducing administrative expenses at the same time, and optimize the financial structure of agriculture to increase the efficiency of agriculture; secondly, strengthen the government's administration and establish of the management system of earmarked special funds for supporting agriculture, excluding other sectors from involving in use of funds for supporting agriculture in order to reduce the possess and peculation of financial fund for agriculture. |
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