The Evaluation Research Of Financial Subsidies For Agricultural Insurance

In the12th five-year plan and the18th party congress documents, to improve people livelihood is an important task of our party at present stage, and also it’s one of the important content of constructing a modern and powerful socialist country. Our country is vast in territory, the agricultural population occupies much. In recent years, the agricultural disasters occur frequently and the damage degree increases, which greatly influence the construction of people’s livelihood projects. With agricultural insurance policy of our country carrying out, the loss degree of farmers in affected areas is effectively alleviated, which plays a huge role in increasing the income of the farmers and agricultural production or other something and also greatly supports the farmers’production and life. Therefore, clearing the responsibility of government in agricultural insurance is the key factor to promote sustainable development of agricultural insurance in China. Now the domestic and overseas theory and practice shows agricultural insurance development can’t do without government support, Especially the government finance subsidy. However, what’s the optimal size of government fiscal subsidies for agricultural insurance? Whether the fiscal subsidies is efficient and how to construct the evaluation index system of efficiency both need to consider. Solving these problems to perfect the related responsibility of government in agricultural insurance and to increase economic and social welfare play a decisive role position in improving people’s livelihood project construction.On the base of related theory of agricultural and fiscal expenditure efficiency, this paper evaluates the comprehensive efficiency of China’s agricultural insurance policy from economic and social efficiency, which is a new kind of innovation for the index system construction in subsidy efficiency of agricultural insurance. Meanwhile, compared with existed literatures, this study adds the analytic research of social efficiency in agricultural insurance from the perspective of social welfare in agricultural insurance, which provides a new research direction for future research. Firstly, this paper briefly introduces the research background, significance, main contents, methods and some innovation and deficiencies, also makes some concise comments. Then, the related concepts and theories are defined, including some brief summary on the relevant theory of agricultural subsidy. On the basis, this paper puts forward construction methods and principles of efficiency evaluation index system and a method to efficiency evaluation. Meanwhile, based on the fiscal expenditure efficiency, by constructing economic efficiency and social efficiency index to evaluate and measure fiscal subsidy efficiency of agricultural insurance, this paper proposes the construction principle and calculation method for comprehensive financial support efficiency value of agricultural insurance. Then, this paper analyzes economic efficiency and social efficiency to the fiscal subsidy of agricultural insurance. Economic efficiency indicators include scale efficiency and fund use efficiency of financial subsidy in agricultural insurance, while social efficiency includes anti-poverty and anti-risk welfare efficiency of agricultural insurance. Moreover, varies evaluation indicators are assigned and weighted, also comprehensive efficiency of financial subsidy in agricultural insurance are made for empirical modeling and comparative analysis.The research results show that if the output elasticity of financial subsidy is0.0816, that’s mean when the area government subsidies of agricultural insurance accounted for the local agricultural output is8.16%, the scale efficiency of financial subsidies is maximum, but now all regions haven’t reached such a scale of subsidies. The consumption smoothing coefficient of rural residents in China is0.5092, which means the implementation of agricultural insurance is propitious to increase agricultural output and farmer’s consumption level, and also with having welfare efficiency of anti-risk. There are significant differences in different areas of the financial support for agricultural insurance comprehensive efficiency value. The government financial subsidies, the rural population and per capita net income of farmers’ family is an important factor influencing the comprehensive efficiency value of financial support for agricultural insurance. While the effect of GDP and farmers’insurance premium expenditure is not obvious to comprehensive efficiency value. Therefore, the government should increase the agricultural insurance subsidies to make the subsidy scale reach8.16%of gross area agricultural production. On the other hand, actively expanding the system design and insurance development of agricultural insurance and enhancing anti-risk welfare efficiency of financial support for agricultural insurance is necessary. The local government should combine with the actual agricultural development area to provide subsidies level appropriate for local characteristic and current situation of agricultural development in order to improve the efficiency of financial support for agricultural insurance.