Government Subsidy Mechanism of Agricultural Products Supply Chain by Considering Company Altruism Preference Under Adverse Weather
Under adverse weather affecting output of agricultural products,this pa-per considers financial budget constraint and altruism preference to set game models in five cases:Non-government subsidy,product subsidy,purchase subsidy,one-time subsidy to company and one-time subsidy to farmer.The study compares the in-fluence of different subsidy methods on the optimal decision-making of agricultural products supply chain and analyzes government's optimal subsidy strategy from three perspectives:Consumer surplus,overall social welfare and subsidy capital efficiency.Research shows that when government implements subsidy to agricultural products supply chain,it can always improve the utility of farmer and overall welfare of society,and government subsidy will enhance the promotion impact of altruism preference on the farmer's effort.Furthermore,when the financial budget is abundant,implement-ing product subsidy and purchase subsidy always provides leverage;Purchase subsidy is the optimal strategy in terms of improving overall social welfare and consumer sur-plus,and product subsidy is the optimal strategy in terms of capital subsidy efficiency.When the financial budget is insufficient,one-time subsidy to company can provide leverage.Both from consumer surplus and overall social welfare and from capital sub-sidy efficiency,one-time subsidy to company is always better than one-time subsidy to farmer.
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