The impact of land reallocation on technical efficiency: evidence from China |
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| Authors: | Yanjie Zhang Xiaobing Wang Thomas Glauben Bernhard Brümmer |
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| Institution: | 1. Department of Agricultural Economics and Rural Development, The University of G?ttingen, Platz der G?ttinger Sieben 5, D‐37073, G?ttingen, Germany;2. Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO), Theodor‐Lieser‐Str 2, D‐06120, Halle (Saale), Germany;3. Center for Chinese Agricultural Policy, Chinese Academy of Sciences, No. Jia 11, Datun Road, Anwai, Beijing 100101, China;4. Courant Research Center ‘Poverty, equity, and growth in developing and transition countries’, the University of G?ttingen, Platz der G?ttinger Sieben 5, D‐37073, G?ttingen, Germany |
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| Abstract: | China's rural reforms expose farm households to an increased risk of administrative land reallocation and adjustment. This study explores the impact of land reallocation on technical efficiency, based on a panel data set from rural households in Zhejiang, Hubei, and Yunnan provinces between 1995 and 2002. Our research indicates that the development of a land rental market could serve as a substitute for administrative land reallocation in optimizing the distribution of land resources. The results from the stochastic frontier production function show that land reallocation does have effects on technical efficiency. The different signs for different provinces indicate that the impact of land reallocation on technical efficiency is an empirical issue and depends on the specific institutional settings and the overall economic environment in each province. |
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| Keywords: | Q12 Q15 Land reallocation Technical efficiency Rural China |
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