Research Of Policy Effect In Fiscal Policy For Supporting Agriculture-Fujian

Agriculture is the foundation of national economy in China. The development of agriculture directly affects the development of national economy and the stability of nation's political situation. The essentiality of agriculture determines government should have to support and protect for it. Indeed, agriculture's own characteristics also determine it requires national financial support. In recent years, our government gave full attention to the"issues concerning agriculture, countryside and farmers". Since the year of 2004, there were continually 7"No.1 Document"which were in relation with the"issues concerning agriculture, countryside and farmers"issued by Central Committee of CPC. Base on the content of these files, it has never seen such a large strength in supporting agriculture as well as such a wide range of relevant issues described before. During the period of the 10th"five-year plan"and the 11th"five-year plan", Fujian progressively enlarged the strength for solving the"issues concerning agriculture, countryside and farmers". However, several reasons still limit the agricultural production and the development of agriculture, such as peasant's income increases hardly; infrastructure for agriculture is old and out-of-date; the amount of government investment for agriculture cannot be assured; its weak capability for dealing with risks. Financial department has to research and do some appropriate adjustment timely, according to these emerging problems. As a result, in order to direct current practice for supporting agriculture and promote the 12th"five-year plan"on both theoretical aspect and the practical aspect, it is all very import to hold in-depth research of the Fujian's fiscal policy for supporting agriculture under the new situations then, analyse and find out the factors which impact the executable result of the policy. This report describes the overall situation of Fujian's fiscal policy for supporting agriculture in the recent 10 years. Firstly, the result and the achievement of policy execution are discussed respectively. Secondly, holistically analyse the result and the achievement of policy execution in the areas of absolute scale, relative scale, policy structure, factors that impact peasant's income, and overall production value. Thirdly, in light of the analysis, derive the major reasons for why the policy execution did not receive better results, such as: insufficient fiscal investment, unreasonable policy structure, decentralized channel of execution, not-unified authority in primary level, and complex execution process, as well as imperfect management and supervision. Lastly, according to the Fujian's current fiscal situation in supporting agriculture, provide the following advises to achieve better results of fiscal policy for supporting agriculture, and also as a reference for 12th"five-year plan": 1) establish a financial mechanism to stable the increase of fiscal investment for supporting agriculture, 2) optimize and restructure the whole policy execution structure, 3) pass some authorities for allocating capital to the lower managerial level, 4) improve the mechanism for capital management and monitoring, 5) perfect legal system for support agriculture, 6) enhance the basic work for supporting agriculture.