A Study on Income-Distribution Regulatory Effect of Financial Support in Agriculture

Abstract

This thesis carries out a quantitative inspection about marginal scale effect and structural effect that both size and structure of expenditures for financial support in agriculture have on income gap between urban and rural residents. According to analyses, it is found that both absolute amount and relative amount of size of financial support in agriculture have widening effect on income gap between urban and rural residents; agricultural infrastructure, three items of agricultural science and rural relief have gap-reducing effect; support for agricultural production and operating expenses of departments do not have significant effect, which may have widening effect in combination with reality factors; and unreasonable structure is a key factor leading to the situation that regulatory effect of financial support in agriculture on unfair income distribution is minor. Thus, to improve income-distribution regulatory effect of financial support in agriculture, it is essential to increase scale of expenditures, form a long-term mechanism, enhance degree of capital integration, optimize expenditure structure and perfect mechanisms of governmental performance examination.