On Urban And Rural Economic Development,

It is a significant subject matter for the economy circle to study currently, which is also the problem to be resolved in this essay, how to promote the dual structure of urban and rural economy to turn into the single one and develop urban and rural economy harmoniously with mastering its characteristics and law.First of all, through elaborating the formation reason and performance of dual economy of urban and rural, the essay greatly affirms the function of it in history, analyzes the existing problems and their restriction to economy development and puts forward the problems to be resolved in harmonious development of urban and rural economy.Secondly, through discussing dual economy models of W.A.Lewis, J.Fei and G.Ranis, Jorgenson, Todaro, and Marx's theory of two departments, the essay draws out the enlightenments as the following: one, the dual economy structure is the evitable phase in economy development; two, market mechanism is the one to realize the integration of urban and rural economy, which requires peasants to move freely and a competitive labor market to exist; three, to develop economy requires to enhance agricultural productivity and agriculture surplus; four, it is imperative to handle the relation between accumulation and consumption to increase accumulation; five, it is necessary to improve technology and productivity; six, to make economy increase rate and urbanization rate higher than the population increase rate, it is imperative to control the population and heighten the population quality; seven, it is urgent to exploit rural economy comprehensively and insist on the sustainable development.Finally, based on above, the essay purposes matching strategies for the harmonious development of urban and rural economy. The first is to shift agriculture labor. According to J.Fei and G.Ranis three-stage theory on employment shift process, China's economy is the one of labor surplus and, at the same time, which is not balanced with the different tendency of regional labor. So the rural labor flow breaking up urban and rural region barracks is inevitable to exert the advantages of human resources, to promote development and to transform the structure. And the radical way to shift the rural labor is to develop industry, non-agriculture and urbanization.The second is to develop township and village enterprises (TVES) with great efforts. The development opens up a road for rural industrialization suited to Chinese characteristics and contributes a lot to shift agriculture surplus labor, accumulate fund for rural economy and increase peasants' income. To change urban and rural dual economy is one of the important aspects of developing industry and services industries. It is suggested to be adapt to the operation of agricultural industrialization on structural adjustment, encourage to adopt all the economy forms such as public, private sectors, self-employed, foreign-invested and mixed ownership and implement structural innovation on the level of operating and managerial system.The third is to realize agricultural industrialization with agricultural industry increase as its core, which is the way for small peasant families to go to the big market and strengthens the integration of production and circulation process. The fourth is to develop towns and small cities rapidly, which is part of a grand strategy to spur the development of rural economy and rural society. Towns and small cities function a lot, but the accumulating effect is primary which conforms to the law of gradual increase and external economy. Urbanization is the carrier of industrial development and it is unavoidable to develop small towns for rural modernization of agriculture.The last is to form the mass economy of agriculture, which is the necessary and effective way to improve economic benefits and can be realized by two channels and five measures.