China's land arrangements and rural labor mobility

Chinese farm families under the Household Responsibility System have the land use-rights but not the rights of alienation. If permanently leaving agriculture, they have to return the land to local authorities and consequently give up a stream of future land earnings. This paper analyzes the deterren...

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Bibliographic Details
Published in:China economic review 1997-09, Vol.8 (2), p.101-115
Main Author: Tao Yang, Dennis
Format: Article
Language:English
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Summary:Chinese farm families under the Household Responsibility System have the land use-rights but not the rights of alienation. If permanently leaving agriculture, they have to return the land to local authorities and consequently give up a stream of future land earnings. This paper analyzes the deterrent effect of this land arrangement on labor mobility by constructing a household model which considers both part-time farming and permanent migration decisions. The implications of the model are consistent with the recent Chinese experience of rural floating population in cities and the rapid growth of rural nonagricultural employment.
ISSN:1043-951X
1873-7781
DOI:10.1016/S1043-951X(97)90001-8