ABSTRACT

This chapter outlines some important features of grain supply response in China. It describes the empirical supply model specification and the estimation procedure; sown acreage and yield responses. The chapter discusses methodological issues and selection of the analytical approach. The level and stability of China’s grain supply have significant effects on both the Chinese economy and the world grain market. C. A. Carter and F. Zhong’s work on China’s Grain Production and Trade tried to measure the impact of government policy on China’s grain production. J. K. Huang and M. W. Rosegrant undertook a preliminary examination of the supply response behaviour of Chinese grain producers to changes in the expected prices, institutional reforms, technologies and environmental conditions in the framework of choice-of-technique. The basic feature of grain production in China is the multiple cropping system in which two or more grain crops with different growing seasons are planted in a piece of land.