The rural social security system is a crucial safeguard for changing how agriculture is produced. This study examines how farmers' agricultural mechanization service (AMS) inputs are affected by the new rural pension insurance (NRPI). The study found that farmers' AMS inputs were significantly increased by NRPI using the CFPS waves from 2016 and 2018. For households with and without elderly farmers, participation in the NRPI could increase AMS inputs by 18.6% and 13.2%, respectively. NRPI and AMS inputs with elderly farmers were significantly mediated by grandchild care and labour off-farm transfer, which accounted for 13.72% and 9.13% of inputs, respectively. In addition, the mechanism tests indicate that, with a proportion value of 15.41 present, the crowding-out effect of labour off-farm transfer was a fundamental transmission mechanism for the NRPI to contribute to the increase in AMS inputs for families without elderly farmers. The heterogeneity analysis also showed that the NRPI had a greater impact on the AMS inputs of elderly farmers' households with grandchild care, a low percentage of non-agricultural labour transfer, and a high level of agricultural income. When there was a low proportion of non-agricultural labour transfer and when farmers had low levels of agricultural income, the NRPI's promotion effect on the investment in AMS inputs was more pronounced for households without elderly farmers. In the conclusion, references are provided for promoting AMS and sustainable agricultural development as well as enhancing NRPI. It is acknowledged that creating an agricultural mechanization service (AMS) is a significant step toward modernizing smallholder farmers. In the countryside, AMS has developed rapidly.
HTML PDFShare this article
Accounting & Marketing received 487 citations as per Google Scholar report
