Analysis On Rural Public Products Supply Impact On Agricultural Growth Of Henan Province

In recent years, China has more attention on agriculture countryside and peasantry problems. The effective supply of rural public products concerns agricultural development, rural prosperity and peasants’income increase. And it plays an important role in narrowing urban-rural gaps and realizing social harmony and progress. In the market economy, the supply of rural public products is market failure, then it must most be provided by the government. Many economists want to find a way out for agricultural development. In this paper, we want to find the impact of rural public product supply to the agricultural growth with the perspective of public product supply. The public product supply system is essential for economic development. With the development of China’s market economy, there are different contributions between the rural public products to the agricultural growth. Supply and demand of rural public products become increasingly intense which couldn’t meet requirements. This article is focused on how to arrange the supply of rural public products to promote agricultural growth.First of all, find domestic and foreign literature about rural public products, which we can get the theory based on the previous research. Meanwhile, Collect data of financial expenditure, Total value of agricultural production, Number of village population and etc. from Statistical Yearbook. And then build a Cobb-Douglas production function with all the data. Then use econometric analysis the dynamic effect and the contribution rate of the rural public products on agricultural GDP and establish the investment priority order according to the contribution rate. In combination with the present situation of rural public products investment,.According to the contribution rate, Degree of importance order of rural public products supply is:expenditure for supporting agricultural production and administrative expenses, Agricultural machinery, multiple cropping index, fertilizer use, and rural education. Construction of water conservancy development lags behind the agriculture growth, And the effectiveness of irrigation and water conservancy construction should have a longer observation period, short-term effectiveness was not significant. The utility of Rural surplus labor contributions to agricultural growth is not obvious. There are problems in the supply of public products system. Insufficient supply of rural public products. Although the overall national policy has been gradually favor of rural areas, but relative to the huge rural demand potential in terms of total supply is obviously insufficient; the gap between rural and urban; Structural imbalance of supply of rural public products. Farmers lack the aspirations of mechanism. The imbalance provision of urban-rural Public products under the urban-rural dual structure, the responsibilities of provision at all levels of government is not clear, the top-down decision-making mechanism of provision, lacking mechanism of demanding expression and other supply subjects. To solve these problems and to effectively provide Public products in rural areas, it is needed to continually improve the existing provision mechanism of governmental authority for rural Public products, such as adhering to provide orientation of public products that integrated the urban and rural areas, clarifying the responsibilities of provision at all levels of government, choosing a suitable decision-making mechanism according to the nature of rural Public products as well as constructing reasonable mechanism of demanding expression. Furthermore, it is needed to establish and develop provision mechanism of market and provision mechanism of voluntary undertakings. To build the scientific and reasonable provision mechanism of rural public products that oriented by coordinating urban and rural development under the new situation.