Agricultural Information Effecting Farmers Net Income

Abstract

With the advancement of science and technology, agricultural information account for a growing proportion in rural economic development. However, the research at home and abroad is mainly theoretical analysis uncommon relying on empirical research data. Therefore, with the purpose of investigating agricultural information on the impact of net income of farmers, by applying with the date about agricultural information and farmers net income from 1990 to 2010, firstly, the paper makes the time series stationarity test to build the unstructured VAR model. Then, by using with the method of impulse response functions and variance decomposition to empirical analysis the long-term dynamic relationship between information indicators and farmers net income. The results show that agricultural information has a significant promoting role on the net income of farmers, and finally the paper proposed positive measures to promote the increase of the farmers net income.