Research On The Growth Of Farmers’ Net Operating Income: An Organized Operation Perspective

The issue of “Agriculture, Countryside and Peasants” in China has beenhindering the improvement of agriculture productivity for a very long time, it hasbecome one of the factors that restricted the overall development of socio-economy,balancing development between rural and urban areas and well-off societyconstruction. The central government has already attached great importance to“agriculture, countryside and peasants” problem, although some promising results hasbeen made, but to completely solve the issued, a series of effective and long-termpolicies should be carried out. The core of “agriculture, countryside and peasants”problem is income growth of peasants, which may be the ultimate factor tocompletely solve the “agriculture, countryside and peasants” issue. Only if the incomeof peasants been improved, agriculture can be transformed from tradition to modern,agricultural structure changed, the rural society been developed, agricultural economyand countryside economy healthily and continuously developed.There is a large amount of research outcomes on peasants’ income promoting issue, which is mainly focused on the transfer of financial support for agriculture,financial policies, human capital, labor transfer and agricultural industrialization.Many scholars studied the problem from the composition of the sources of peasants’income; there are also others from operation mode. These results have very importantsignificance in theory and practice. However, scholars studied the problem or fromthe atomic-mode, or from a specific organization, or from some cases. The traditionalunorganized mode of operation is difficult to create profit space, and the factor ofmarket-oriented “organization” is becoming more and more important in the currentperiod. However, in the academic community, the amount of literature related tofarmers’ operating net income growth is relatively small; literature from theperspective of “organized” is even rarer.In recent years, there has appeared a wide variety of agricultural operationorganization based on farmers’ land contract rights. These organizations play a veryimportant role in promoting farmer’s net operation income according to survey. Theparties of the agricultural operation organizations are mainly farmers, enterprises,farmers’ cooperatives, local government, these parties are combined by a series ofcomplex and cross-cutting contracts. Agricultural can efficiently apply newagricultural technologies, realize scale economy and increase the added value of agro-products, and that will create a very broad space for the growth of peasants’ netagricultural operation net income.In this paper,“organization” is taken as a factor in agricultural productionfunction. Then, uses data from the year of2004to2011of all regions in China,proved the income improving effect of “organized operation” from empiricalperspective. At last, proposes some countermeasures for peasants’ benefit protectionunder organized operation frame.This paper includes five chapters:Chapter1, introduction. Describes the research background, a literature reviewand innovation.Chapter2, definition and basic theory.Chapter3, proposes income promotion mechanism of agricultural organizationaloperating. Part1discusses the general mechanism, part2uses SCP paradigm toanalyze the income promoting performance of different agricultural organizationsChapter4, empirical analysis. Part1is descriptive statistics of farmers’agriculture operation net income; Part2takes "organization" as a factor intoproduction function, using2004-2011regional data related to agricultural economics;Part3analyzes three examples using SCP. Chapter5, gives some advice to policymakers and agricultural organizations.