Research On The Government Economic Functions Under The Coordinated Urban-rural Economic Development

Agricultural development is significant for China; agriculture, rural areas and farmers play an important role of the coordinated development of urban and rural. Because of the market mechanism and binary system, there is a huge gap between urban and rural areas, showing up as the imbalance of factor allocation, industrial development, public service and living standard. To intensify institutional innovation and transform the local government economic functions is the premise and guarantee for coordinating urban-rural economic development. It requests the government economic functions to transform accordingly.This essay applies same relative theories, such as, the dualistic economic theory, the institutional change theory, property right theory, new public services, market failure theory and government failure theory. It analyzes that coordinating urban-rural economic development is also facing with many challenges. Moreover, it draws successful experiences from international and domestic practice, such as America, Japan, Chengdu. Finally, it gives the conclusions and suggestions. The government will play a better role by building unified urban and rural public goods supply system; reforming the rural land system; establishing a rural financial system with great continuance by the financial inclusion; promoting the rural surplus labors transfer; pushing administrative management system reform. It carries the structural adjustment a step forward; it helps optimizing the distribution of resource; it meets the urban and rural residents’ needs; it improving the urban and rural economic develop healthily and sustainably. At present, coordinated urban-rural economic development is in favor of releasing the demand of agriculture, rural areas and farmers; excavating economic development momentum; promoting the positive interactive between the industrialization and urbanization, and making sure of the joint development between urbanization and agricultural modernization; and realizing fairness and justice.