Abstract:After ten-year adjustment since its beginning, the “one discussion over one case” policy has experienced changes from raising funds and labor at village level to being subsidized by the government. In this process, the specific situational cognition at different times is the basic driving force for policy changes and progressive adjustment promotes the policy changes. On the basis of further updating situational cognition and progressive adjustment, “one discussion over one case” subsidy policy can play out the advantages of democratic decision-making and management by farmers, move forward to take on resources to the countryside, and completely relieve farmers from the burden of fund raising and labor raising so as to meet the demands of public goods at village level and push the democratic construction at grassroots level in China’s rural areas.