Why do big farms in China always fail?

When it comes to agriculture, we have to mention the United States. The United States is the benchmark of agriculture, the United States is the beacon of mankind, and the United States is the pearl of the earth. Agriculture in the United States is a big farm. Well, many Chinese people think that the big farm agriculture in the United States is the real agriculture; the big farm in the United States represents the direction of agricultural development. As a result, from the state to enterprises, many large organizations have chosen the model of big farm in the process of devoting themselves to agriculture. What was the result? There are few successful cases.

It's strange that the prescription of Lighthouse Kingdom won't work when it comes to our land. Is it true that the physical problems that are always talked about by the public are magical again? To understand this problem, we must first understand what agriculture on earth looks like.

In many people's understanding of agriculture, they always feel that agriculture is primitive and humble, and that it is a "small-scale peasant economy" at all. If you think so, I can only tell you that you are absolutely right. In economics, agriculture has another identity-the only industry in the world that takes the household as the smallest unit of production, and has not seen a large-scale successful change in this state in any country.

In other words, agriculture all over the world is produced by the family; the size of the farm does not matter, whether it is one mu of land or 10,000 mu of land, the smallest production unit is the family. As long as we do not do so, whether it is a big farm run by a big company or a big farm run by the state, it will fail-with one possible exception, all kinds of land reclamation in China.

Of course, you know, this is actually a militarized organization that can run against economic laws to a certain extent and cannot be counted. We in China have made repeated attempts to make breakthroughs on this issue, and no matter the people's commune or anything else, we have failed miserably without exception. Even if the current land reclamation, it is not comfortable.

So, what is the factor that leads to the fact that agriculture can only take the household as the minimum production unit? In other words, why is the return on investment higher when families do agriculture than companies do?

What is the essence of being an enterprise, doing a company, and even all industrial and economic activities? In fact, it is very simple, it can be made clear in one sentence: integrate intangible assets into tangible assets to increase the value of tangible assets. The physical logic goes like this: there are three forms of matter in the universe-mass, energy and information. The three can be transformed into each other. For human economic activities, the lowest logic is to inject energy and information into quality, resulting in the appreciation of quality. To build a house, for example, is to put a pile of scattered material-- bricks, injected energy and information-- in a certain way, thus realizing the upgrading of the material-- the brick becomes a house. You can think about whether this is the case in other industries. In fact, there is no exception. The same is true of agriculture.