Research Of Allowance Policy For Purchasing Agricultural Machinery And Its Effects In Gansu Province

In recent years, the agricultural support and allowance are increased clearly by Chinese government. Chinese farmers’ income keeps low and their purchasing ability is weak, while their purchasing initiative is quite high. Under the condition of higher price of large-medium agricultural machinery, the cognitive process of new machinery and the adequate subsidy ability from the government, it is essential to increase the investment and to reinforce the relative agricultural mechanization(AM) guidance by the state. Both the agriculture and the mechanization have the features and characteristics of public property. However, the current market mechanism can hardly guide the investment to AM and play its function. Therefore, it is necessary for the government to cope with the problems of market malfunction so that the resources could be allocated effectively. As a major component, the allowance policy for purchasing of agricultural machinery (APPAM) plays an important role in transferring payment and in the secondary distribution of national income. Moreover, APPAM directs the reasonable investment and resources usage, which regulates those remarkably.As a less developed region in west of China, Gansu Province shows some generality and individuality by APPAM’s operation. Based on the perspective of policy assessment, both the regional features of Gansu and some important parameters are investigated and analyzed, including the background, the development process, the implementation contents, the investment and the operating characteristics of APPAM. Besides, the comprehensive influence in Gansu and in the relevant counties and urban districts is evaluated, which focuses on AM, the overall productivity, the transferring mode of agricultural producing and the promoting demands of both rural consumption and AM industry. Meanwhile, during the process of operating APPAM, the problems of policy design, implementation and support are concluded. Furthermore, the policy’s development route is also proposed in this paper. As a result, this research could show objectively the overall situation and the impacts in this less developed area after the APPAM being carried...