The increase of grain price is more conducive to the increase of farmers' income

Introduction: according to the Institute of national economy, the current price rise of grain is affordable to the society First, the proportion of residents' food consumption expenditure (Engel coefficient) is significantly lower than that in the early and mid-1990s, which makes urban and rural residents more able to bear the rising food price The Engel coefficient of urban households was 54.2% in 1990, 50.1% in 1995, and 37.1% in 2003, that is to say, food consumption accounted for more than half of the total consumption expenditure, which dropped to nearly 1 / 3 The Engel coefficient of rural households decreased from 58.8% in 1990 to 46.2% in 2003, with the same huge decline Secondly, the continuous and rapid growth of urban residents' income and wages over the years has formed a huge contrast with the continuous decline of food prices, which shows that the moderate increase of food prices will not worsen the residents' expenditure expectations From 1995 to 2003, the per capita disposable income of urban households increased by 7.4% annually, while the grain price in the same period has been declining compared with that before the fourth quarter of last year Taking rice as an example, the retail price of rice in 1995 exceeded 2 yuan / Jin At present, the retail price of rice is only about 1.3 yuan / Jin At present, the increase in food prices is reasonable and affordable for residents, which is more conducive to the increase of farmers' income In the first half of this year, the increase in farmers' income exceeded 10%, which is directly related to the moderate and reasonable increase in food At present, the consumption tendency of farmers is significantly higher than that of urban residents Increasing farmers' income will be conducive to the active and prosperity of the consumer goods market which is still in oversupply.