Rethinking Pension Reform in China

I. IntroductionIn the last decade, social insurance has been undergoing a process of reform in bothdeveloped and developing countries. Old age pensions have the broadest coverage andfrequently the largest cost of any program in the entire social insurance system, and inmany countries have become or threaten to become a major burden on public finances.Hence they have been the subject of much discussion. Attention has been concentratedon thequestion of which system should be chosen: should it b…     

Evaluating the Redistributive Effect of Social Security Programs in China over the Past 30 Years

China has improved its social security system in recent decades,with the aim of achieving universal coverage and improving the equity of income distribution.Based on data from the five rounds of Chinese Household Income Project surveys from 1988 to 2018,this paper examines the long-term redistributive effects of social security programs in China.Our results show that social security programs have reduced income inequality consistently,and the positive redistributive effects have been improving for the past 30 years.Social security transfers have had an increasingly essential role in rural areas,especially after 2002 when China started to establish a comprehensive rural social safety net and expanded the coverage of the social security program.The redistributive efficiency of the social security system has also increased recently.     

Analysis of the “Red Packet” Phenomenon in China＇s Medical Health Industry

“Red packet”, or the red envelope containing money as a bribe or kickback, is a kind of present. It not only reflects a relationship involving exchange of material things, but also has social and cultural implications. Seen as an element of Chinese social organizations, the red packet has multiple functions -social, economic and political. In the traditional Chinese society, the red packet had already been in existence in the medical industry. After the People‘s Republic of China was founded, the practice of giving and receiving red packet, to a large extent, disappeared because of the establishment of the planned economic system.However, since the country‘s reform and opening up began, the red packet has appeared again in the medical health industry. This reappearance is mainly because that the economic reform has been a gradual process with different emphases at different stages. Before the burden of expenditure on medical institutions and public health welfare has been lifted from the shoulders of public finance, market elements have already entered the management of medical institutions and made room for the popularization of “red packets”.     

Assessment for Social Security Pilot in Jilin and Hei Longjiang of China

I. Introduction Since the partially-funded scheme was formally introduced into China’s social security system in 1995, combining social pooling with individual accounts (IA), some contributionsto IA have been used for current payments, as a result of transition costs. Therefore, the IA depleted, making the “combination of social pooling and individual accounts” only nominal. To achieve a partially-funded security scheme, the Central Government developed a pilot program in three northeas…     

Analysis of China''''s Overheated Economyand Macroeconomic Policy Options

With Chinas economy on a rapid upturn in 2003, there are some divergent views on themacroeconomic scenario within economic circles, and vigorous debate has arisen as towhether the economy has become overheated. The division and debate have a bearing onpeoples judgment of the macroeconomic trend for 2004, as well as macroeconomic policyoptions. This article will try to present the authors view on the economic growth trend, andmacroeconomic policy options.I. Relation between Speed andQuality o…     

Advantages of the social stamp for the biodiesel producer companies： The BSBIOS and OLEOPLAN cases

Biofuel has become an alternative source of energy in response to the change of the world＇s energy matrix. In Brazil, biodiesel has a highlighted status because it is obtained from different raw materials including animal or vegetable origins. In this context, trying to stimulate the social inclusion and the regional development, the federal government has been allowing some tax benefits through the Social Fuel Stamp （SCS） to the producer companies of biodiesel, since the purchasing of the raw material is from small farmers. Taking this into account, this article aims at the identification of the advantages perceived between the BSBIOS and the OLEOPLAN-two producer companies of biodiesel, located, respectively, in Rio Grande do Sul, in relation to the use of the social fuel stamp. In this case study, classified as a qualitative and of exploratory style, the data collection was done through the observation of informal conversations, visits in the companies named above, through interviews made with a pre-determined guide that allowed the application of the subject analysis technical. The analysis of the results is organized through the profile of these companies and by the identification of the advantages provided by the social fuel stamp. The results of this study show that the companies consider the social fuel stamp as fundamental and that it provides four advantages： the access to better financial conditions through the BNDES and other financial institutions; the right to compete in auctions for the biodiesel purchasing by the Petroleum National Agency, Natural Gas and Biofuel （ANP）; the exemption of taxes; and, the use of the logo of the stamp showing the social role of the company that does not represent a differentiated factor concerning the marketing strategy.     

Guest Editors’ Introduction

China has entered a new stage of social and economic development,having eliminated absolute poverty by the end of 2020.Common prosperity will be a new goal in this new development stage.There are domestic and international reasons for China to promote common prosperity as a new development goal.Domestically,the reform and opening-up policies over the past 40 years have promoted rapid economic growth and a considerable improvement in Chinese living standards but the problem of unbalanced development has not been solved effectively.This problem is manifested in all aspects of social and economic development,including excessive income inequality and unfair income distribution,regional disparities,a significantly large urban-rural gap,and unequal access to basic public services among different population groups.     

Comparative Analysis of Capital Productivity in China＇s High-Tech Industries

While labor productivity is a topic of constant debate and has been studied extensively, far less attention has been devoted to the question of capital productivity. Productive use of physical capital is an important source of economic growth and investment return. This paper presents a comparative study of capital productivity in China‘s high-tech industry. Using a version of the perpetual inventory method (PIM), new estimates have been made of the physical capital stock by sector. Capital productivity in China‘s high-tech industry is higher than in total manufacturing, but the gap between them has been shrinking. Comparison with high-tech industries in the US., highlights that China‘s high-tech industries could play a more important role in the growth of manufacturing and the whole economy.     

Nature/Culture Dichotomy in China’s Ecological Resettlement Policy——Research based on Wustu Village,IMAR,PRC

Ecological resettlement,as a subsidiary policy of the Central Government’s environmental policy,is now attracting increasing domestic and international attention.The amount of immigrants involved in the policy serves as one reason to raise concerns about the issue,and its side effects (especially the loss of ethnic cultures and the dilemma of some ethnic minority herders and farmers) gave rise to multi-lateral discussions about the policy.The ecological and economic effects of the policy are the primary focus of present research,while the cultural analysis (esp.concerning the social and political forces that fostered and implemented the policy) of the State’s environmental and ecological resettlement policy is lacking.Based on my field research in Wustu village,IMAR,this paper relates the cultural basis of these policies with China’s desire to establish a harmonious society and argues that respect for minority cultures as well as local participation of immigrants are key to solving China’s environment issues.     

Thinking on corporate social responsibility triggered by Melamine Incident

More attention is paid on corporate social responsibility after Melamine Incident, and social responsibility has become a key factor that enterprises carry out their sustainable development. The enterprise fulfilling social responsibility is a gradual process, based on the active implementation of legal responsibility and the basic hold of bottom line for social responsibilities, settling the social responsibilities in business development strategy and further fulfilling its moral responsibility for the stakeholders, and strengthening the social responsibility management of the supply chain for enterprise, so as to realize win-win between the enterprise and society.     

Incomplete property rights, exposure to markets and the provision of environmental services in China

This paper uses data from a 2003 rural survey to examine the determinants of household provision of environmental services under China's Sloping Land Conversion Program (SLCP), the largest payments for environmental services program in the developing world. The paper examines the determinants of plot-level survival rates of program-planted trees and grasses. It finds that household rights over retired land as well as autonomy in program decision-making (which we argue on the basis of supportive evidence are plausibly exogenous to post-retirement outcomes) have important and potentially countervailing impacts on the provision of environmental services targeted by the program. Households permitted to select what to plant obtain better program outcomes, but do not make the choices that the government would like them to, while those permitted to decide what land to retire perform worse. The analysis also finds that households more vested and experienced in agriculture and with less exposure to off-farm labor markets fare better in managing their planted trees. Significant learning-by-doing effects are also evident, suggesting that greater technical support to farmers could improve outcomes and lower program costs.     

A historical irony in the making? State,private sector and land reform in the South African wine industry

This article traces the development of the land distribution policy of the Department of Land Affairs (DLA) of South Africa. Despite the DLA ‘s political commitment to land reform by way of restitution, redistribution and tenure reform, to date no small‐scale wine farmers have been settled in South Africa by virtue of this policy. Three case studies describe how agricultural labourers have successfully gained access to this lucrative sector through private sector intervention. It is also argued that the small farm versus large farm debate masks the real opportunities for land reform in the wine industry.     

退耕还林工程对农户生产要素投入与收入的影响——基于长期连续跟踪大样本农户数据

利用6省区、15县市、2707个样本农户1995—2016年连续跟踪调研数据,在充分考虑相关政策和市场因素等动态变化的基础上,定量估计退耕还林工程对农户生产要素投入的影响,采用递归方程模型估计了退耕还林工程对农户收入的直接影响(退耕还林补助与放弃的退耕地种植业收益之差)和间接影响(退耕还林工程引起生产要素配置调整带来的收入变化)。结果表明:第一,农户参与退耕还林使其耕地经营面积减少25.06%,林地经营面积增加57.88%,以土地为基础的生产费用减少11.41%,非农劳动力投入增加9.99%;退耕还林工程对样本农户以土地为基础的劳动力投入和种植业集约经营未产生显著影响。第二,退耕还林工程直接增加了样本农户3.73%的以土地为基础的收入,间接增加了8.57%的以土地为基础的收入和7.85%的非农收入。第三,相对于黄河流域,退耕还林工程对长江流域样本农户收入的直接影响较大,但间接影响较小。在退耕还林工程后续政策设计中,需充分重视退耕还林工程对农户生产要素投入和收入的影响及其路径,强化因地制宜的理念。     

How do trust and property security influence household contributions to public goods?: The case of the sloping land conversion program in China

Trust and property rights are generally considered to influence farmers' behavior regarding resource use and environmental management. Previous studies show that higher trust levels may enhance contributions to public goods. This paper investigates how trust and (land) property rights security influence the provision of one concrete public good: land protection through the Sloping Land Conservation Program in China. The analysis is based on household survey data from Ningxia Autonomous Region in China. From our questionnaire two trust factors are derived and distinguished, using factor analysis: general trust and kinship trust. Farm households are less likely to contribute to public goods when they perceive more secure land rights, but trust has mixed effects on public goods. The results show that general trust and kinship trust may rely on two opposite effects for influencing public goods provision. On the one hand, high levels of general trust may directly enhance people's willingness to provide contributions to public goods (by reduced likelihood to reconvert forest land) when farmers are aware of the positive environmental effects of the program, that's the public goods effect. On the other hand, general trust may also make it more likely that people invest more in their own private goods to pursue their own welfare (a more likely reconversion of forest land to arable land), that's the private goods effect. The final outcome depends on the size and direction of both effects. Compared to general trust, kinship trust is more inward-looking and self- or group-interested compared to more reciprocal general trust. Thus, unlike general trust, kinship trust may have no significant public goods effect on the provisioning of public goods.     

Determinants of technical efficiency and farmers’ crop choice rationality: A case study of rural Gansu,China

Land exchange based on market transactions in which lessors and lessees participate voluntarily not only makes them better off but also enhances the overall efficiency of land use and agricultural production. However, it is worthwhile to empirically explore the effect of land rental on overall technical efficiency in the context of Chinese agriculture because non-farm household producers have increasingly entered the farming business as cultivators. If such producers underperform farm households in terms of efficiency, land consolidation does not necessarily deliver the desired outcome. This study demonstrates that the development of land rental markets improves agricultural technical efficiency at the aggregate level. Another important issue addressed in this study is to examine farmers’ crop choice rationality. China offers an interesting case in this respect. This is because, while the central government has long strived to maintain a high grain self-sufficiency rate, the relative prices of farm products have recently moved in favor of non-grain products. Our empirical result suggests that there is room for further increase in farm revenues of Gansu’s producers by shifting resources away from cereal toward horticultural production.     

Impact of Childcare and Eldercare on Off‐farm Activities in Rural China

Using individual data collected in rural China and adopting Heckman's two‐step function, we examined the impact of childcare and eldercare on laborers' off‐farm activities. Our study finds that having school‐aged children has a negative impact on rural laborers' migration decisions and a positive impact on their decision to work in the local off‐farm employment market. As grandparents can help to take care of young children, the impact of preschoolers is insignificant. Having elderly family to care for decreases the income earned by female members of the family. Although both men and women are actively engaged in off‐farm employment today in rural China, this study shows that women are still the primary care providers for both children and the elderly. Therefore, reforming public school enrollment and high school/college entrance examination systems so that migrant children can stay with their parents, this will help rural laborers to migrate to cities. The present study also calls for more public services for preschoolers and the elderly in rural China.     

DOES SENDING FARMERS BACK TO SCHOOL HAVE AN IMPACT? REVISITING THE ISSUE

The Farmer Field School (FFS) is an intensive training program providing farmers with science‐based knowledge and practices, including integrated pest management. Recently there has been intensive debate as to whether or not this kind of training has any significant impact. Most case studies argue that the impact, in terms of a farmer's ability to reduce the use of pesticides while increasing yields, is significant. However, panel data studies using household panel data sets for Indonesia have not been able to confirm that this is the case. The present paper uses panel data available from previous panel data studies and applies a new model specification to reevaluate whether or not the FFS induces better performances among farmers enrolled in the program and also among their neighbors, who are expected to receive some spillover knowledge from the FFS alumna.     

What are the Determinants of Large‐scale Farming in China?

The Chinese Government has increased its focus on expanding farm scale to promote agricultural development since 2010. A series of favorable polices has been adopted to support large‐scale farming. Using a multivariate probit model and 2015 and 2016 rural household survey data, the present paper examines the factors that influence small farmers' decision to become large‐scale farmers. The empirical regression results suggest that the decision to become a large‐scale farmer is significantly influenced by household human capital, cooperative membership, marketing channels, land‐transfer contracts and government policies. However, the influence of these factors differs with respect to becoming large‐scale grain and non‐grain farmers. These results imply that policy tools should target these factors and the appropriate group of small‐scale farmers. Generally, both central and local governments should promote large‐scale farming by enhancing rural households' human capital, improving marketing channels and providing agricultural social services, as well as encouraging returning migrant workers to engage in large‐scale farming.     

A cluster analysis of commercialisation of farmers in developing rural areas of South Africa

The purpose of this article is to classify farmers in developing rural areas according to their commercial orientation and to evaluate their distinguishing characteristics. Farmers in these areas use both farm and non‐farm activities to commercialise to some degree. The aim of the commercialisation strategy is to generate income for acquiring other basic goods and services. A cluster analysis of 392 households surveyed in 1987 in the former KaNgwane identified seven groups of farming households: very low commercial households, moderately commercial households, high agricultural commercial households, livestock commercial households, non‐farm income households, non‐farm and agricultural commercial households and highly commercial households. The characteristics of four of these groups were investigated further. The current status of the commercialisation process suggests several policy directions: food security programmes should be aimed at those lacking resources, who may also be threatened by food shortages; emerging farmers with limited resources should be encouraged to diversify their income‐generating activities ‐ they should be given support (including access to land, markets, credit and management) to encourage them to prosper; and the progressive farmers require enhanced programmes to sustain their competitiveness.     

Non‐farm Income Diversification in Rural Ghana: Patterns and Determinants

Abstract: Evidence abounds in the rural livelihoods literature that rural households do not only receive a significant proportion of their incomes from non‐farm sources, but also it is a significant source of employment for rural folks. This paper examines the pattern and determinants of non‐farm income diversification in rural Ghana. Results show that off‐farm income constituted 43 percent of rural household income in 2005/6. Female‐headed households tend to have larger off‐farm income shares compared to male‐headed households. Non‐farm income shares followed the same gender pattern albeit less pronounced. Unlike in Latin America and Asia, in rural Ghana, non‐farm self‐employment income is more important than non‐farm wage‐employment income. Regression results show that the gender composition of households, age, education, and access to credit, electricity and markets are important determinants of multiple non‐farm activities and non‐farm income. The findings call for strategies that can help rural households maximize the benefits from income diversification.