To solve the problems of the poverty in rural areas and raise the output efficiency of agriculture, policy is the primary factor. Guiding by good policies, the design of agricultural structure and management technology are the two main technical supports for agricultural development. The authors apply the model to determine the consequences of four so-called poverty alleviation strategies: (i) intensification of production, (ii) diversification of livestock production, (iii) land expansion, and (iv) an exit from agriculture, with a set of regional poverty and biodiversity indicators. Diversification seems to be the most promising poverty reduction strategy, but requires an efficient use of animal manure in cropping systems to avoid environmental problems. Improved nutrient management in cropping systems is effective in reducing the regional nitrogen surplus, but less effective in increasing per capita income. The exit strategy is beneficial for reducing poverty and achieving biodiversity goals, but may have important social consequences, which are not addressed in this study. Further reduction of rural poverty is hampered by labor constraints during the harvesting period of high value crops, such as vegetables and fruits, which calls for research and development in the field of agricultural mechanization.