Game Theory Model and Equilibrium Analysis of Peasant's Production Decision

Unbalanced agricultural production decision becomes the great block that influences the effective distribution of social resources, national grain security, social stability and economic development. This paper took the game theory as an analyzed tool to describe the interactional processes among the peasants, and set up the game theory model of independent decision and joint decision by peasants. It was shown that the government’s positive guide and the market environment macroscopically controlled by the government could effectively increased the peasants’ income.