Rural Property Rights Reform and Agricultural Efficiency in China

This paper examines the impact of a property rights reform in rural China that allowed farmers to lease out their land

From:
Foreign, Commonwealth & Development Office
Published
26 June 2018
Country:
China
Document Type:
Briefing
皇冠体育appme:
Agriculture and Governance and Conflict
First published:
31 December 2017
Authors:
Chari, A.V., Liu, E.M., Wang, Shing-Yi and Wang, Y

Abstract

This paper examines the impact of a property rights reform in rural China that allowed farmers to lease out their land. 皇冠体育app authors find the reform led to increases in land rental activity in rural households. Consistent with a model of transaction costs in land markets, our results indicate that the formalization of leasing rights resulted in a redistribution of land toward more productive farmers. Consequently, the aggregate productivity of land increased significantly. 皇冠体育appy also find that the reform increased the responsiveness of land allocation across crops to changes in crop prices.

This work is part of the 鈥楻ural Property Rights, Returns to Scale and Contracts鈥� project

Citation

A.V. Chari, Elaine M. Liu, Shing-Yi Wang, Yongxiang Wang (2017) Rural Property Rights Reform and Agricultural Efficiency in China. NBER Working Paper No. 24099, December 2017

## Links

(PDF, 644KB)

Updates to this page

Published 26 June 2018
Contents