Research Of The Investment Effects And Financing Model Of Rural Infrastructure

Infrastructure is the precondition of rural development, it is the crucial part and foundation work in building socialist new countryside and the total sum of all the element providing public service to peasants’live and that serve the rural economy, social and cultural development, it belongs to social overhead capital, was the most important part in the work of building socialist new countryside. Premier Wen points out in his government work report of2007that "country determined to adjust the investment direction, the state investment in infrastructure construction will focus to the rural area". However, the greatest problem we faced now in building socialist new countryside is the financial problem. Infrastructure has many features which cause that its investment and financing are relatively more difficult, for example it has a long construction period and long payback period, it need a large amount of capital investment and its strong external effect. Infrastructure of agriculture has been the weak link in investment and raising funds, its lag in development will affect the course of building socialist new countryside in china, so it is very important to make research and establish the scientific and effective model of investment and financing in rural infrastructure construction.This paper will make research about the investment and financing problem in rural infrastructure construction from the following sections:First chapter, introduction. This part mainly introduce the background and significance of the research, meanwhile, it reviews the domestic correlation study in infrastructure investment and financing model, secondly it explores the current situation and inadequate of China’s rural infrastructure investment and financing mode which provides the theoretical basis for model selection in infrastructure investment and financing of rural area. At last, this paper describes its research methods and research ideas.Second chapter, exploration of overseas experience in building rural infrastructure. Deeply understand infrastructure capital management practice of new countryside construction in south korea and japan. And the public goods investment and construction mode in America by Literature reading, explore the experience to the infrastructure construction investment and financing in china.Third chapter, research of present situation of infrastructure investment and financing in villages and towns of china. Make comparative analysis of the total investment in infrastructure and investment structure across the country using macro data. Make analysis of current situation and existing problems in investment and financing of rural infrastructure of China from present situation of rural infrastructure investment and financing.Forth chapter, empirical analysis of increasing farmer income by rural infrastructure investment and financing. Make study of how the level of rural infrastructure affect farmer income taking panel date of31province as research object, expose the effect on farm income caused by the difference of the level of infrastructure in a more micro-perspective. The final conclusion is:Supply level of China’s rural infrastructure have a strong positive effect on changes in farmer income, the order is education, irrigation and water conservancy, electric power, transportation in accordance with the contribution, so our country must continue to increase irrigation and water conservancy, electric power, transportation and other productive infrastructure investments, meanwhile, we should pay attention to other social and institutional infrastructure investment that could take long-term effectiveness to farmer income increase.Fifth chapter, model selection of rural infrastructure investment and financing in china. According to the principles of effective investment and financing mode selection, paper made model selection and design according to the different characters of rural infrastructure and given a concrete model of rural infrastructure investment and financing.Sixth chapter, the policy proposal to the innovation of investment and financing model of China’s rural basic facilities. Cite a few examples of China’s provinces in infrastructure investment and financing practices, through the network of information, and give seven big policy proposal to perfect the investment and financing model of China’s rural basic facilities. Prefect the function of government and role orientation in the investment and financing model, the financial support system of rural basic facilities, and the relevant regulations and policies in the field of rural investment and financing. Strengthen the construction project management the and the supervision of funds for construction of rural infrastructure. Construct the new mechanism of rural infrastructure operation and management. Build the return fund and the financial guarantee mechanism of rural infrastructure projects. Pay attention to the propaganda work and the guiding of government policy.This article will use the combination of empirical and threshold analysis, survey and theory to comb the current situation of the investment and financing to rural basic facilities. Then put forward the innovation program and policy proposal to the policy-makers.