Local Officials as Land Developers: Urban Spatial Expansion in China
AbstractWe investigate conceptually and empirically the role of economic incentives in the primary land allocation in China in recent years. A theoretical analysis demonstrates how recent fiscal and governance reforms give rise to land conversion decisions and long run urban spatial sizes much like those generated by competitive land markets with private land ownership. An econometric investigation of Shanghai and the provinces surrounding it demonstrates the presence of rent gradients, often used as an indication of the presence of land markets. It thus appears that economic forces have continued to exercise dominant influence over primary land allocations in spite of recent administrative restrictions on land conversion. These rent gradients are strongest in the most economically developed portions of the study region and weakest in the least economically developed. Urban land values exceed agricultural land values by a considerable margin, suggesting that rates of urbanization will continue to be rapid. The estimated rent gradients also suggest that much of this region will eventually become completely urbanized.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Maryland, Department of Agricultural and Resource Economics in its series Working Papers with number 6834.
Date of creation: 2008
Date of revision:
Community/Rural/Urban Development; Land Economics/Use; R5; R14; H11; O18;
Other versions of this item:
- Lichtenberg, Erik & Ding, Chengri, 2009. "Local officials as land developers: Urban spatial expansion in China," Journal of Urban Economics, Elsevier, vol. 66(1), pages 57-64, July.
- R5 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis
- R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
- H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- F. Deng, 2005. "Public land leasing and the changing roles of local government in urban china," The Annals of Regional Science, Springer, vol. 39(2), pages 353-373, 06.
- Bertaud, Alain & Renaud, Bertrand, 1997. "Socialist Cities without Land Markets," Journal of Urban Economics, Elsevier, vol. 41(1), pages 137-151, January.
- Peterson, George E., 2006. "Land leasing and land sale as an infrastructure-financing option," Policy Research Working Paper Series 4043, The World Bank.
- Hartwick, John M. & Van Long, Ngo & Tian, Huilan, 2001. "Deforestation and Development in a Small Open Economy," Journal of Environmental Economics and Management, Elsevier, vol. 41(3), pages 235-251, May.
- Yuming Fu & Tsur Somerville & Mengdi Gu & Tongcheng Huang, 1999. "Land Use Rights, Government Land Supply, and the Pattern of Redevelopment in Shanghai," International Real Estate Review, Asian Real Estate Society, vol. 2(1), pages 49-78.
- Deng, Xiangzheng & Huang, Jikun & Rozelle, Scott & Uchida, Emi, 2008. "Growth, population and industrialization, and urban land expansion of China," Journal of Urban Economics, Elsevier, vol. 63(1), pages 96-115, January.
- Hehui Jin & Yingyi Qian & Barry Weingast, 1999.
"Regional Decentralization and Fiscal Incentives: Federalism, Chinese Style,"
99013, Stanford University, Department of Economics.
- Jin, Hehui & Qian, Yingyi & Weingast, Barry R., 2005. "Regional decentralization and fiscal incentives: Federalism, Chinese style," Journal of Public Economics, Elsevier, vol. 89(9-10), pages 1719-1742, September.
- Fan, Shenggen & Zhang, Xiaobo, 2004. "Infrastructure and regional economic development in rural China," China Economic Review, Elsevier, vol. 15(2), pages 203-214.
- Demurger, Sylvie, 2001. "Infrastructure Development and Economic Growth: An Explanation for Regional Disparities in China?," Journal of Comparative Economics, Elsevier, vol. 29(1), pages 95-117, March.
- Zhang, Tao & Zou, Heng-fu, 1998.
"Fiscal decentralization, public spending, and economic growth in China,"
Journal of Public Economics,
Elsevier, vol. 67(2), pages 221-240, February.
- Tao Zhang & Heng-fu Zou, 1996. "Fiscal decentralization, public spending, and economic growth in China," Policy Research Working Paper Series 1608, The World Bank.
- Tao Zhang & Heng-fu Zou, 2001. "Fiscal decentralization, public spending, and economic growth in China," CEMA Working Papers 58, China Economics and Management Academy, Central University of Finance and Economics.
- Zhihua Zhang & Jorge Martinez-Vazquez, 2003. "The System of Equalization Transfers in China," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0312, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
- Li, Hongbin & Zhou, Li-An, 2005. "Political turnover and economic performance: the incentive role of personnel control in China," Journal of Public Economics, Elsevier, vol. 89(9-10), pages 1743-1762, September.
- F Wu, 1998. "Polycentric urban development and land-use change in a transitional economy: the case of Guangzhou," Environment and Planning A, Pion Ltd, London, vol. 30(6), pages 1077-1100, June.
- Head, Keith & Ries, John, 1996. "Inter-City Competition for Foreign Investment: Static and Dynamic Effects of China's Incentive Areas," Journal of Urban Economics, Elsevier, vol. 40(1), pages 38-60, July.
- Chen, Jian & Fleisher, Belton M., 1996. "Regional Income Inequality and Economic Growth in China," Journal of Comparative Economics, Elsevier, vol. 22(2), pages 141-164, April.
- Li, Lixing, 2008.
"The Incentive Role of Creating "Cities" in China,"
8594, University Library of Munich, Germany.
- Fan, Shenggen & Li, Lixing & Zhang, Xiaobo, 2012. "Challenges of creating cities in China: Lessons from a short-lived county-to-city upgrading policy," Journal of Comparative Economics, Elsevier, vol. 40(3), pages 476-491.
- Feng, Juan & Lichtenberg, Erik & Ding, Chengri, 2013. "Balancing Act: Economic Incentives, Administrative Restrictions, And Urban Land Expansion In China," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 149669, Agricultural and Applied Economics Association.
- Edward L. Glaeser & Stuart S. Rosenthal & William C, Strange, 2010.
"Urban Economics and Entrepreneurship,"
in: Cities and Entrepreneurship
National Bureau of Economic Research, Inc.
- Mototsugu Fukushige & Yingxin Shi, 2014. "Efficient Scale of Local Government in China: Quantile Regression Approach to County-Level Data," Discussion Papers in Economics and Business 14-15, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If references are entirely missing, you can add them using this form.