| Based on the previous research result, ADF test method， Johansen test method and Error Correction Model are introduced. According to the relevant data in Guangdong Province in the years 1985-2006, co-integration analysis, Error Correction Model, impulse response function and variance decomposition technology are used to study the dynamic impacts of urban residents’ income and agricultural financial expenditure on rural residents’ income in Guangdong Province. Result shows that although urban residents’ income has temporary negative effects on rural residents’ income in Guangdong Province，Its long-term, stable positive effect is more important is. Increase of urban residents’ income can promote the income growth of rural residents. Effect of agricultural... |
