On The Children Of Rural Families In China To Participate In The Behavior Of The New Rural Social Pension Insurance

With the fast aging trend in China, the topic of providing social security to the ages in rural China is being discussed by the scholars and policy makers. In late 2009, the State Council of China started the establishment of the New Rural Social Security System. And we would like to assess the effectiveness of the policy in this paper.This paper includes four chapters. In chapter one we introduce the background. We review the literatures on private provision of public goods, summarize the problems the traditional home-supported system is engaging in rural China and introduce the New Rural Social Security System to define the core problem we would like to solve in this paper.In chapter two we conducted a strategy analysis by implementing the tools provided by the private provision of public goods theory, and estimated the possibility of participation for the children in rural household and their parents'possibility of qualified for getting basic pension under existing policy requirement.In chapter three we reported the result of a field survey on the New Rural Social Security System in rural Ningxia, a province of China. By illustrating the actual behavior of the rural residents under different situations, we testify the results of strategy analysis. Also, the survey enriches our knowledge of the New Rural Social Security System.In chapter four we draw our conclusion. We discovered that the existing policy of New Rural Social Security System leads to lower participation rate than other possible policy choices. And we proposed some potential improvement could be made to increase the participation rate and the possibility for the olds to get their basic pension.