Development Model of Rural Industrialization in China

Weihong Chen, Ruide Zhang and Guichuan Liu

Asian Agricultural Research, 2009, vol. 01, issue 07, 5

Abstract: With the implementation of the policy of expanding domestic demand, farmers have become the main body of rural economy and rural industrialization. Development of rural industrialization promotes the development of rural economy in China, effectively transfers the surplus labor force in rural areas, continuously optimizes the rural economic structure, improves the living standard of farmers, and has made important contributions to the stability and development of economy and society in China. This paper introduces the connotation of rural industrialization, classifies it into three modes according to the farmer’s investment and economic development, such as exogenous model of rural industrialization, endogenous model of rural industrialization and integrated model of rural industrialization. Though rural industrialization has obtained great achievements, there are still some problems restricting the development of rural economy in China. For instance, cognitive bias leads to the slow pace of rural industrialization; rural industry develops rapidly but its efficiency is low; intensive degree of economic growth is still very low; ability of independent innovation is weak; there are obvious contradiction between the constraints of resource and environment and the acceleration of industrialization; and development gap between regions has further widened. Therefore, policy suggestions are put forward. Firstly, continue to strengthen policy support. Secondly, take a new road of rural industrialization. Thirdly, strengthen the construction of human resources in rural areas. Fourthly, actively guide the investment behavior of farmers. And finally, support the specialty cooperative of farmers and the leading enterprises, which has certain reference significance to enhance agricultural benefit, farmers’ income, rural development and modern agriculture.

Keywords: Community/Rural/Urban Development; Industrial Organization; Research Methods/Statistical Methods; Resource/Energy Economics and Policy (search for similar items in EconPapers)
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:ags:asagre:54072

DOI: 10.22004/ag.econ.54072

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