: An Empirical Study Of Government Regulation Effect On Wheat Price Change

As one of the main varieties of food in China and the focus of food protectioncarried out by our country, changes in the wheat price has been the focus ofconsideration in making regulatory policies, too. Over the years, the price of wheathas gone through the undulation of ups and downs, which has become one of themost important problem concerned by the farmers. Then explore the reasons behindthe changes in the price of wheat has become the focus. So, this paper explains fromthe point of the government regulation to grasp the trend and characteristics of thechanges in the price of wheat.Firstly, the article describes the concepts and theories of government regulationand make a more comprehensive definition of the government regulation to review itsystematicly.Secondly, it reviews the changes in the price of wheat in China in the past21years, and lists some policies and practice of our government in controlling the wheatprice.Next, it gets the relationship between government regulation and changes in theprice of wheat by the empirical analysis of annual production of wheat in China, theannual import volume and the average annual price from1990to2010. It can explainthe wheat price changes of some years well, and conclude that government regulationcan affect the price of wheat to some degrees while its influence is limited in the longterm.Then it analyzes the effects and a number of problems of governmentregulation of the price of wheat and finally summarizes the results of this study andgives some policy recommendations: for example,the government should beimplemented the government regulation in full compliance with the laws of themarket conditions,so that it can guarantee that the expected effect of governmentregulation. the government must improve the efficiency of government regulation andreduce the time interval of the control policy from conception to implementation effectively and so on.Of course,China has got some achievements in these regards,atthe same time this paper still wishes that it can further change the traditional means ofgovernment control to achieve effective to stabilize wheat prices,guarantee farmers’income and maintain the healthy functioning of the wheat market target.