Abstract:

This article describes the farmers’ professional cooperatives’ position in the agricultural industrial chain and value chain，then introduces the trouble of industrial chain’s and value chain’s caused by lack of information service. In this paper, the author explores the mechanism of information service consumption that how to reduce transaction costs and waste value, facilitate specialization, coordinate the interests of all parties, improve product competitiveness and valueadded efficiency, control distribution costs and accumulate social capital in the agricultural industrial chain and value chain. By using mechanism design theory, the author also analyzes the structure and functions of the information flow in the process of farmer cooperatives consume information services. On this basis，the author builds a dynamic model which explains how the information service consumption promotes the development of agricultural economy.

Keywords: Information consumption；Information service consumption；Farmers&rsquo, professional cooperatives；Agricultural industrial chain；Agricultural value chain；Information flow