China’s rural institutions and governance since the beginning of the rural reform

ABSTRACT

This paper looks at how China governs its vast rural territories. The structure of rural governance relies not only on the extent and form of the state’s authority, but also on the principal–agent relationship between the state and local stakeholders, as well as the role of the informal institutional arrangements that serve as the foundation for rural governance. China’s 40 years of reform and opening have led to the transformation of rural China into urban and rural China. The rules and order of informal institutions have evolved and changed significantly, and the cost-benefit structure of formal state governance has been amended. The appropriate rural governance system for village transformation improves the performance of the country’s direct governance and the entrustment–agent system for village governance. Further, the rural governance system balances formal and informal institutions to achieve an effective institutional arrangement.     

Analysis of programs to reduce overpopulation of companion animals: Do adoption and low-cost spay/neuter programs merely cause substitution of sources?

Overpopulation of companion animal results in millions of deaths each year at shelters and spending in the billions of dollars. Major efforts are underway to reduce this problem, with one of the largest efforts being spearheaded by Maddie's Fund. Maddie's Fund programs focus on encouraging spay/neuter and adoptions through economic incentives and marketing. However, aggressive spay/neuter and adoption programs present economic questions regarding how much they simply lead to substitution of sources for these good and services rather than increasing total community adoption and spay/neuter levels. In addition, spay/neuter also presents an ecological question as to how effective it is at reducing population sizes and therefore shelter intake. Analysis of Maddie's Fund program results show that low-cost spay/neuter programs are effective at raising total community spay/neuter levels (i.e. they do not merely cause substitution in source of spay/neuter procedures). Similar results were found for adoptions, with animal control adoptions not being reduced by new adoption programs initiated by other organizations. However, no clear results were found demonstrating the impact of total spay/neuter procedures on shelter intake.     

Assessing the effect of educational programs on public schools’ performance

This paper provides evidence on the effectiveness in the implementation of an educational program which offered public schools in Catalonia (Spain) the opportunity to improve the quality of educational provision. We employ a difference-in-differences approach on rich balanced panel data of public schools. The results confirm that the program did effectively improve students’ achievement and reduce absenteeism, albeit not for all modules and school types or across all years. Our results highlight that it is important to condition the delivery of resources upon specific academic goals depending on the characteristics of the treated population. Additionally, program results suggest the need to enhance educational program design in order to get better evaluation feedback.

Abbreviations: DoE: Department of Education; EU: European Union; PMQCE: Projecte per a la Millora de la Qualitat dels Centres Educatius; DiD: Differences-in-Differences; SFDC: Schools Facing Disadvantaged Conditions; OECD: Organization for Economic Co-operation and Development; REA: Regional Educational Authority     

Expectation and satisfaction of rural tourism：a case study of Hainan,China

This study uses the rural tourist motivation scale to measure the motivations, expectations, and satisfaction of nearly 200 rural tourists in five areas of Hainan, China by importance-Performance Analysis （IPA） and factor analysis. The results show that the main motivation for participating in rural tourism is to be close to nature, improve family rela-tionship and relaxation. Tourists are highly satisfied with the landscape and pastoral views as well as the friendliness of the local people and hotels. The results also show that the sample people most care about easy parking and reasonable prices, and they expect ethnic festivals and farm life experiences. Besides the environment, facilities, recreational activities and psychological experience of rural tourism, the overall satisfaction is high. The results of this study can be used by local government leaders as well as the tourism industry to devise ways to promote and improve rural tourism.     

The pull of inter-provincial migration of rural labor force and its influence on policy-making

As a social phenomenon closely related to development of economy, the population is always the focis of economists＇ attention. Based on the fifth census in 2001, this paper analyzes labor migration in Hubet Provtnce and establishes an econometric model to analyze the pull according to the push and pull theory,, which is the famous theory on the population flow and migration. It points out that the per capita consumption and the employment rate attract strongly the rural labors and makes a deep exploration into the ensuing problems. Such conclusion is a special reference to the decision-making of government. The government can provide some guidance to the rural labors according to the per capita consumption and the employment rate in order to avoid the futility of blind migration.     

An economic evaluation of SPREAD on Rwanda’s rural population

Sustainable Partnerships to Enhance Rural Enterprises and Agricultural Development (SPREAD) was a programme to enhance the value chain for commodities in Rwanda including coffee. The implicit concept was that improving the value chain would increase the incomes for smallholders and, hence, reduce the poverty rate. The results indicate that Rwanda coffee prices increased relative to an index price for traded coffee with the implementation of SPREAD. In addition, the results indicate that participation in the coffee market at this time was associated with higher household income and lower rates of poverty.     

Competition and monopoly of Chinese rural groundwater market：structure and determinants

China is facing severe problem of water scarcity.Agricultural sector,the main consumer of water resource,has remarkably changed its institutions on water resource deployment,due to heavy environmental pressure.As a new and spontaneous institution,groundwater market has developed rapidly in northern China,and has impacts on waterusing behaviors and benefits of farmers.Using household survey data from Hebei and Henan in 2007,this paper attempts to pin down the development and operating of groundwater market in rural China.We focus on the monopoly and competition in the market.Empirical analysis reveals that Chinese farmers are trying to make rational decision when they compete with others in groundwater market.In general,monopoly is not fierce in Chinese rural groundwater market,with great variations among different villages and even different tubewells within one village.Tubewell costs,regulation and the density of tubewells are the main determinants that affect monopoly level of groundwater market.To make water market benefit more and more farmers of low income,corresponding policies are needed to modify its development in the future.     

The appeal of voluntary environmental programs: which firms participate and why?

Why do firms participate in the EPA's voluntary environmental programs? Possible reasons include: (1) to appeal to consumers who demand ‘green’ products; (2) to preempt government regulation; (3) to seek regulatory relief from the agency; and (4) to gain a competitive advantage over competitors. This article examines the determinants of participation in voluntary environmental programs, focusing on testing hypotheses 1 and 3. To test 2, a different approach is used than in previous literature. The focus is on a specified universe of firms (manufacturing firms in the Standard & Poor 500), and their participation in each of three EPA voluntary programs (33/50, Green Lights, and WasteWi$) referring to differently regulated pollutants is analyzed. Our empirical analyses reveal that (1) publicity is an important component of participation; (2) the worse the environmental track record of the firm, the more likely the firm is to participate, but only in programs directly related to highly regulated pollutants; and (3) firms that scrutinize their environmental performance more carefully are wary of newer programs with uncertain reach of the public and uncertain benefits. Firms appear to value the information/technology transfer aspect of joining a program.     

The persistence of regional new business formation-activity over time – assessing the potential of policy promotion programs

We investigate regional differences in the level and the development of regional new business formation activity. There is a pronounced variance of start-up rates across the regions. The level of regional new business formation is rather path-dependent so that changes are relatively small. The main factors determining the level of regional start-ups are innovation and an entrepreneurial climate. These factors also seem to be responsible for changes in the level of regional new business formation. In addition, unemployment plays a role. Steering innovation and creating an entrepreneurial atmosphere could be an appropriate starting point for policy measures that try to promote start-ups. Our empirical evidence strongly suggests that such measures may have significant effect only in the long run.

The urban–rural divide,regional disaggregation and the convergence of crime

Potential regional variation in crime rates has been recognized as an issue of clear importance given its implications for the development and evaluation of theories of criminal activity, determining the appropriate level of disaggregation at which to undertake empirical analyses of crime and whether crime fighting policies should be constructed at a national or local level. Consequently, a literature has evolved examining the similarities in US regional crime rates and whether a national trend exists or is emerging. The present article extends the recent research into the emergence of a national trend by considering convergence in alternative classifications of crime using a data set subject to a higher degree of disaggregation than considered hitherto. The results obtained overturn previous findings obtained using more highly aggregated data, indicating the detection of convergence to be dependent upon the level of disaggregation considered. In addition, the extent of convergence detected is shown to vary across classifications of criminal activity and reflect anecdotally noted changes in the evolution of crime at a national level. The implications of the observed regional variation in crime for the urban–rural divide and theoretical, empirical and policy analyses are noted.     

Integrated water resources management： for： sustainable development of in western rural China

Management in water resources development of Jinghe watershed of western t：ural China is examined with Participatory Rural Appraisal method -- a rare applied method in China and questionnaire survey of stakeholders Combination of these two survey methods derives good restlts as it coutd avoid personal bias in identifying and ranking the issues on a concrete bas＇is in following up households＇ survey. Statistic Package for Social Sciences gSPSS） was used for data analysis. Results indicate that since the early 1980s, issues of water scarcity, river pollution, soil erosion, insufficient participation of stakeholders in water resources use and management, as well as centralized water planning and management system have created difficulties for Sustainable development of the watershed. The stakeholders and local governments are fully aware of the challenges and are committed to achieving a solution through integrated water resource management （IWRD）. The concept anti the application of IWRD for rural China are reviewed and analyzed, and a fram cessful implementatio involvement and capacity building in water sector, which heed to fully, integrate various management functions within the watershed.     

Do external interventions work? The case of trade reform conditions in IMF supported programs

Trade reform conditions are common in IMF supported programs. Of the 99 countries that had IMF programs during 1993-2003, 77 had trade reform conditions in their programs. Since the WTO has not been found especially effective in promoting trade openness for most developing countries, it is of great interest to see if the IMF has been more effective as it combines carrots and sticks not available to the WTO. Yet, the effectiveness of these trade conditions has not been systematically studied. Using a unique dataset, this paper provides such an assessment. It finds that trade conditions are indeed associated with an increase in trade openness on average, but the effect comes mostly from countries that can be characterized by a high degree of “willingness to reform.”     

Can U.S. Cities afford living wage programs? An examination of alternatives

Since 1994. so-called “living wage” ordinances have passed in 20 cities in the United States, and activists are advancing similar proposals throughout the country. These proposals are a response to the declining real wages of low-wage workers in the United States—what David Gordon termed “the wage squeeze” in Fat and Mean—and, in particular, to the 30 percent fall in the real value of the minimum wage from its peak in 1968. We consider here the main arguments advanced by opponents of living wage proposals: 1) they will place a heavy burden on municipal government budgets, forcing, among other things, cuts in vital city services that benefit low-income people; 2) they will encourage local businesses to relocate and discourage new businesses from investing within cities that have such ordinances; and 3) they will cause unemployment among low-wage workers. Examining these issues in the context of proposals that were either passed or considered in different cities, we find that none of the criticisms of living wage proposals stand up to careful scrutiny or evidence. Rather, living wage proposals are affordable and workable. They represent a small but significant step toward reversing the “wage squeeze” so carefully documented and analyzed in Fat and Mean.     

The effect of rural labor migration on poverty alleviation： a viilage-level study in China

The construction of the new socialist countryside is being carried out in China nowadays. Although lots of successful experience has been gotten, different problems occur in various regions yet. To analyze the relationships among rural labor migration, poverty alleviation and characteristics of migrants is important in considering the effect of rural labor migration on the construction of the new. socialist countryside, Available sampling and typical case study are adopted and 236 questionnaires are collected from four villages in northwest GuangxL China, Daxin, Lixin, Longhe and Yongehang, We analyze the rural labor migration status, characteristics of migrants, remittance situation and income, household income and the ratio of remittance income to total household income. About 2/3 of the households have migrants in surveyed villages. And nearly half of the migration households have only one family member as migrants in the four villages. The migrants mainly comprise male and the younger, with the education level of junior middle school and higher More than half of the migrants are employed in Guangdong Province. But the characteristics of migrants in Yongchang are more diverse. The rural labor migration in the village is extremely active and extensive. And over 60% of the household with family members as migrants have remittance income. The rate in Yongchang is extremely high （80%）, And the income of households with migrants getting remittance income is significantly higher than their counterparts. More than half of their income comes from remittance as far as the former kind of household is concerned And in Yongchang, the rate is nearly 80%. The conclusion is that rural labor migration is popular and extensive in lots of villages. And the migration and remittance play an important role in rural household income, especially in some poor villages. For this kind of village, the rural labor migration may be some ＂compulsory course＂ in rural development. And the rural labor emigration is an essential way in     

Research on financial support in new rural reconstruction

The new rural reconstruction in China cannot develop without financial support. At present, the limitations on rural finance supply constitute one of the bottlenecks in the ＂Three Nongs＂ （agriculture, countryside and farmers） problems. The paper starts from the present situation, analyses the reasons why rural finance has current difficulties and puts forward proposals for policy reform.     

Where did all the remittances go? Understanding the impact of remittances on consumption patterns in rural China

We focus on the impact of migrants’ remittances on consumption patterns in China. Using a large homogenous sample of rural households surveyed in 2001 and 2004, we find that remittances are spent on nonhousing consumption expenditures at the margin, virtually dollar-for-dollar, when we instrument remittances and local employed earnings using proxies of social networks. Our findings are robust to intra-household division of labour and to fixed-effect for the county in which the respondents are registered. These results imply that rural households largely take remittances as permanent income and are consistent with the prevalence of circular and repeat migration in China.     

The economic and environmental performances of rural districts in Italy: Are competitiveness and sustainability compatible targets?

This paper analyses the economic performances of the rural system and the level of land sensitivity to degradation in Italy. Three indicators (district value added, share of agriculture on total product, and a composite index of land sensitivity) were used to classify 784 Italian local districts into eight performance classes. Four classes share a combination of high environmental quality (in terms of land degradation), high (or low) economic performances, and high (or low) productivity of the primary sector. The remaining four are characterised by a combination of low (and declining) environmental quality, high (or low) economic performances, and high (or low) productivity of the primary sector. The eight classes were grouped into four ‘environmental quality’ types and four ‘target performance’ categories to discriminate among high- and low-performance districts by considering twelve additional variables within a Discriminant Function Analysis (DFA). 148 high environmental performance districts (18% of total) were identified mainly across the Alps and Apennine while 314 districts (41%) were classified in the lowest performance class and concentrated in flat areas of southern Italy. The districts with high environmental performances were characterised, on average, by medium to low district value added, moderately low economic weight of the primary sector, and tourism specialisation. Districts with high economic performances and low environmental performances were characterised by high sensitivity to LD, low district value added, high share of agriculture in total product, and the lowest productivity of labour in all economic sectors. In these districts the risk of entering a downward spiral of rural poverty and environmental degradation is potentially high.     

Moving toward markets? Labor allocation in rural China

China's economic reforms have brought rapid growth in rural off-farm employment, raising questions about the assumption that rural China is labor surplus and has poorly functioning factor markets. We investigate this by testing for separability between household labor demand and supply using panel data. We find that separability is rejected overall, indicating that factor markets remain underdeveloped. Nonseparability, however, is associated with labor surplus in some areas and labor shortage in others. Moreover, separability holds where substantial employment opportunities exist in the wider township, suggesting that such employment promotes competitive allocation within villages as well as the inter-village movement of resources.     

Must conditional cash transfer programs be conditioned to be effective? The impact of conditioning transfers on school enrollment in Mexico

A growing body of evidence suggests that conditional cash transfer (CCT) programs can have strong, positive effects on a range of welfare indicators for poor households in developing countries. However, there is little evidence about how important each component of these programs is towards achieving these outcomes. This paper tests the importance of conditionality on one specific outcome related to human capital formation, school enrollment, using data collected during the evaluation of Mexico's PROGRESA program. We exploit the fact that some beneficiaries who received transfers did not receive the forms needed to monitor the attendance of their children at school. We use a variety of techniques, including nearest neighbor matching and household fixed effects regressions, to show that the absence of these forms reduced the likelihood that children attended school with this effect most pronounced when children are transitioning to lower secondary school. We provide substantial evidence that these findings are not driven by unobservable characteristics of households or localities.