IDEAS home Printed from https://ideas.repec.org/a/eme/jespps/v43y2016i5p763-779.html
   My bibliography  Save this article

Modeling China’s agriculture support policy effects

Author

Listed:
  • Shuquan He

Abstract

Purpose - China has shifted its agricultural policy from tax agriculture to support it. The purpose of this paper is to examine the agricultural policy changes of China in recent years, focussing on the support policy. China supports its agriculture sector through tax elimination, area payment and input subsidy. In this paper, the author intends to evaluate China’s agricultural support policy effect with a modified policy evaluation model (PEM). Design/methodology/approach - The author modifies PEM used by OECD to estimate the effects of these support policies on production and farmer’s income. Findings - The main findings are input subsidy policy has more effect than area payment policy in general; input subsidy policy has more effects on production while area payment has more effects on farmer’s income; and the sensitivity analysis further indicates that input subsidy policy has more influence than area payment as regarding production impact ratio, while area payment has more influence on income impact ratios. Practical implications - Based on these findings, when it comes to the support policy in terms of area payment and input subsidies only, the author puts forward the following policy implications: to increase input subsidy in budgets and expand the covering scope, and to continue implementing area payment policy with more budgets. However, support policies playing an important role in improving production efficiency and marketing support should be given priority. Originality/value - The main contributions of this paper are modifying the OECD PEM to China’s conditions; and quantifying China’s agricultural policy effects.

Suggested Citation

  • Shuquan He, 2016. "Modeling China’s agriculture support policy effects," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 43(5), pages 763-779, October.
    • Handle: RePEc:eme:jespps:v:43:y:2016:i:5:p:763-779
    DOI: 10.1108/JES-05-2015-0071
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/JES-05-2015-0071/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://www.emerald.com/insight/content/doi/10.1108/JES-05-2015-0071/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1108/JES-05-2015-0071?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. John Ssozi & Simplice Asongu & Voxi Heinrich Amavilah, 2019. "The effectiveness of development aid for agriculture in Sub-Saharan Africa," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 46(2), pages 284-305, March.
    2. Figueiredo, Paulo N. & Piana, Janaina, 2018. "Innovative capability building and learning linkages in knowledge-intensive service SMEs in Brazil's mining industry," Resources Policy, Elsevier, vol. 58(C), pages 21-33.

    More about this item

    Keywords

    China; Agriculture support policy; Policy effects; Policy simulation; C51; O53; Q18;
    All these keywords.

    JEL classification:

    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:jespps:v:43:y:2016:i:5:p:763-779. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.