Evaluate the Effectiveness of the Agricultural Machinery Purchase Subsidy Policy for Poverty Alleviation in Guizhou, China

Southwest China's weak economic development has been the focus of China's rural revitalization strategy; exploring the impact of implementing an agricultural machinery purchase subsidy policy can impetus the economic development of Southwest China. Since its introduction in 2004, the policy of subsidizing the purchase of agricultural machinery has been mainly used to support the purchase of advanced and applicable agricultural machinery. The implementation of this policy has promoted China's socioeconomic development and, until now, has been an indispensable supportive policy in the rural revitalization strategy. As the province with the most poverty-reducing people in the country, Guizhou's achievements cannot be attributed to the conscientious implementation of the central government's decisions and deployments. However, Guizhou's practice of subsidizing the purchase of agricultural machinery also requires improvement. The Smith Model is the theoretical framework for this research. This paper lists the problem Guizhou's agricultural machinery purchase subsidy policy needs to fix with stakeholder analysis. It then uses the Smith Model to look into the reasons for the "irrational agricultural machinery structure" gap in Guizhou's application of the agricultural machinery purchase subsidy policy and makes suggestions for how to make things better. This study's main contribution is to enrich existing literature by analyzing Guizhou's policy implication in addressing the problem of insufficient production of agricultural machinery and providing a direction for the future implementation of Guizhou's agricultural machinery purchase subsidy policy.