Analysis of Grain Subsidy Policy’s Effects on Farmers’ Income--The empirical test from Tianchang City, Anhui Province
DONG Chun-yu
LIU Ying
Abstract：Increasing farmers’income is one of the important goals of grain subsidy policy in China. However, have this policy objective realized? Does the current grain subsidy policy effectively improve the farmers’ income? It is a question worth exploring. Using the survey data in Tianchang City, Anhui Province, this study uses multiple linear regression model to empirically test the influence of the grain subsidy policy on Farmers’ income. The results show that: (1) the amount of grain subsidies has a significant negative effect on farmers’ income. The higher the amount of food subsidies, the higher farmers’ enthusiasm for agricultural production, and the relatively shorter the time for off-farm employment is. In case that Non-farm compensation rate of return is higher than agriculture, farmers overall income level will be reduced. (2) Farmers’ income is largely influenced by the positive impact of off-farm income. Off-farm income has become a major source of farmers’ income. Therefore, to improve farmers’ income level, the country should implement appropriate measures to promote the development of modern agriculture, and promote agricultural return rate. In addition, the government should take effective measures to promote the reasonable development of off-farm employment.
Keywords：Grain Subsidy PolicyFarmers' IncomeEffectMultiple Linear Regression Model
Publication Date：2013-01-01
Online Publishing Date：2025-08-15(First online date of this platform, not the publication date of the document)
Pages：6( 29-33,43 )