Research On The Influence Of Urbanization On The Income Of Farmers In Hunan Province

It is of great significance to research on how the urbanization influence the income of the farmers and how to increase the income of them. The author does the theoretical analysis and empirical research on the impact of the urbanization in Hunan Province has on the amount and structure of the farmers’ income. The related theories on the urbanization and farmers’ income are combed at the beginning. The related concepts,metrics, and empirical methods act as the theoretical basis of this paper.Then on the basis of the current situation of the urbanization and farmers’ income in Hunan Province,the author illustrates the factors resulting in it and the analysis of mechanism on the relationship between the urbanization and farmers’ income. Finally, the author uses the relevant data of 2005-2014 to construct a comprehensive urbanization index, using the factorial analysis to extract the main factor, and then conduct the panel data analysis.Then the author demonstrates how the urbanization influence the income of the farmers and puts forward the proposal on how to increase the income of them, providing a new perspective on this issue.The paper illustrates the theoretical basis of the impact of urbanization has on the income of farmers.Through expounding the connotation of urbanization and farmers’ income, the author preliminarily determines the measurement method of the urbanization and farmers’ income, after which the factor analysis and panel data analysis methods are introduced.The paper analyzes the mechanism of the impact urbanization has on farmers’ income. According to the present situation of Hunan urbanization and farmers’ income as well as the related factors that affect farmers’ income, the author analyzes the mechanism of urbanization has on farmers’ income and the structure of it. Urbanization promote farmers’ income through speeding up the development of society, economy,promoting the rural surplus labor transfer, improving the living standards of residents and improving land management At the same time, urbanization also promotes farmers’ salary income, family business income, property income and transfer income, among which the farmers’ salary income has the greatest indication of the influence of urbanization. the largest of peasant household income growth rate overtake growth of per capita net income of farmers, compared to the other three types of income, farmers’ income growth is the most slow. The family business income cannot grow as fast as percapita net income. The growth of farmers’ management income is the slowest, compared to the other three types of income.The paper makes the empirical analysis of the impact of urbanization in Hunan Province has on farmers’ income. First of all, basing on the principle of comprehensiveness, scientificity, maneuverability of the targets, the author refer to the evaluation system of urbanization from the Bureau of Statistics and construct the evaluation system of urbanization from population, economic development, social development, residents’ life, the overall development of urban and rural places. Using the factor analysis method, the author extracts three main factors: economic and social life factor, industrial structure factor, the real estate industry factor. Then, the author analyzes the extent of the impact by using these main factors on farmers’ income and its structure and building panel data model respectively. Economic and social life level factor, industrial structure factor, the real estate industry factor have a great impact on farmers’ income, including salary income, income of family business, and transfer income from property, among which the economic and social life level factor plays the greatest role in promoting farmers’ income. Finally, related suggestions are put forward at the end of the paper.