The impact of agricultural comprehensive development on agro-ecological efficiency of China-evidence from perspective of scale and structure

Promoting the agricultural sustainable development is one of the core objectives of agricultural comprehensive development (ACD), and the core of agricultural sustainable development lies in enhancing agro-ecological efficiency (AEE). Based on inter-provincial panel data from 2003-2017, the AEE was measured by a unexpected super-efficient SBM model. From the perspective of investment scale and investment structure, the impact of investment scale in ACD on AEE was examined using a panel econometric model, then characterizing the investment structure by the proportion of government funds in the investment of ACD, examining the non-linear relationship between investment structure of ACD and AEE seeking a reasonable proportion of government expenditure. Finally, a spatial econometric model was constructed to test the spatial spillover effect of the scale and structure of investment in ACD on AEE. Results showed that: (i) AEE of China is on the rise overall, but the efficiency level is still low and there is large scope for improvement. (ii) Due to the inefficient use of funds and the lag in the transformation of agricultural benefits, the scale of investment in ACD has a significant negative impact on AEE in the current period. (iii) The impact of investment structure of ACD on AEE presents a significant inverted N relationship, and the optimal proportion of government fund investment structure is 76.71%. The reasonable structure of investment in ACD at different food functional areas shows differences. (iv) After considering the spatial effect, the impact of ACD remains robust, but the spatial spillover effect prolongs the time lag of this impact of investment scale and starts to have a positive impact in the 2nd year after the investment. Guarantee the investment scale in ACD, reduce financial redundancy, establish a cooperation mechanism between ACD and agricultural ecological protection in neighboring areas, and increase the introduction of private capital can achieve sustainable development of agricultural economy.

Automated summary

Promoting agricultural sustainable development is crucial, and enhancing agro-ecological efficiency (AEE) is the key. Through analyzing inter-provincial panel data from 2003-2017, a super-efficient SBM model was used to measure AEE. The impact of investment scale and structure on AEE was examined, and an optimal proportion of government expenditure was found. A spatial econometric model was constructed to test the spatial spillover effect. The results showed that China's AEE is on the rise overall, but there is room for improvement. Investment scale has a negative impact on AEE due to inefficient fund use, while investment structure has an inverted N relationship with AEE, with an optimal proportion of government fund investment structure at 76.71%. Consideration of spatial effects showed that ACD's impact remains robust, with a positive spillover effect starting in the 2nd year after investment. Ensuring investment scale, reducing financial redundancy, establishing cooperation with neighboring areas, and increasing private capital can achieve sustainable agricultural development.