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The impact of land reallocation on technical efficiency: evidence from China

Author

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  • Yanjie Zhang
  • Xiaobing Wang
  • Thomas Glauben
  • Bernhard Brümmer

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.

Suggested Citation

  • Yanjie Zhang & Xiaobing Wang & Thomas Glauben & Bernhard Brümmer, 2011. "The impact of land reallocation on technical efficiency: evidence from China," Agricultural Economics, International Association of Agricultural Economists, vol. 42(4), pages 495-507, July.
  • Handle: RePEc:bla:agecon:v:42:y:2011:i:4:p:495-507
    DOI: 10.1111/j.1574-0862.2010.00532.x
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    File URL: https://doi.org/10.1111/j.1574-0862.2010.00532.x
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    Cited by:

    1. Wang, Hui & Riedinger, Jeffrey & Jin, Songqing, 2015. "Land documents, tenure security and land rental development: Panel evidence from China," China Economic Review, Elsevier, vol. 36(C), pages 220-235.
    2. Wang, Xiaobing & Yu, Xiaohua, 2011. "Scale Effects, Technical Efficiency and Land Lease in China," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 115736, European Association of Agricultural Economists.
    3. Tang, Jianjun & Folmer, Henk & Xue, Jianhong, 2015. "Technical and allocative efficiency of irrigation water use in the Guanzhong Plain, China," Food Policy, Elsevier, vol. 50(C), pages 43-52.
    4. Jianjun Tang & Henk Folmer & Arno J. Vlist & Jianhong Xue, 2014. "The impacts of management reform on irrigation water use efficiency in the Guanzhong plain, China," Papers in Regional Science, Wiley Blackwell, vol. 93(2), pages 455-475, June.
    5. Deininger, Klaus & Jin, Songqing & Xia, Fang & Huang, Jikun, 2014. "Moving Off the Farm: Land Institutions to Facilitate Structural Transformation and Agricultural Productivity Growth in China," World Development, Elsevier, vol. 59(C), pages 505-520.
    6. Wang, Xiaobing & Hockmann, Heinrich, 2012. "Technical Efficiency Under Producer’S Individual Technology: A Metafrontier Analysis," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126755, International Association of Agricultural Economists.
    7. Zhihai Yang & Amin W. Mugera & Ning Yin & Yumeng Wang, 2018. "Soil conservation practices and production efficiency of smallholder farms in Central China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 20(4), pages 1517-1533, August.
    8. Jia, Lili & Petrick, Martin, 2011. "How land fragmentation affects off-farm labor supply in China: Evidence from household panel data," 51st Annual Conference, Halle, Germany, September 28-30, 2011 114522, German Association of Agricultural Economists (GEWISOLA).
    9. Zhang, Yanjie & Wang, Xiaobing & Brümmer, Bernhard & Yu, Xiaohua, 2012. "The impact of land security and input allocation on farm household income," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126467, International Association of Agricultural Economists.
    10. Wang, Xiaobing & Yamauchi, Futoshi & Otsuka, Keijiro & Huang, Jikun, 2016. "Wage Growth, Landholding, and Mechanization in Chinese Agriculture," World Development, Elsevier, vol. 86(C), pages 30-45.
    11. Li Gao & Wendong Zhang & Yingdan Mei & Abdoul G Sam & Yu Song & Shuqin Jin, 2018. "Do Farmers Adopt Fewer Conservation Practices on Rented Land? Evidence from Straw Retention in China," Center for Agricultural and Rural Development (CARD) Publications 18-wp584, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    12. Huang, Wei & Bruemmer, Bernhard & Huntsinger, Lynn, 2016. "Incorporating measures of grassland productivity into efficiency estimates for livestock grazing on the Qinghai-Tibetan Plateau in China," Ecological Economics, Elsevier, vol. 122(C), pages 1-11.
    13. Rungsuriyawiboon, Supawat & Zhang, Yanjie, 2018. "Examining the economic performance of Chinese farms: A dynamic efficiency and adjustment cost approach," Economic Analysis and Policy, Elsevier, vol. 57(C), pages 74-87.
    14. Ji, Yueqing & Yu, Xiaohua & Zhong, Funing, 2012. "Machinery investment decision and off-farm employment in rural China," China Economic Review, Elsevier, vol. 23(1), pages 71-80.
    15. Gong, Binlei, 2020. "Agricultural productivity convergence in China," China Economic Review, Elsevier, vol. 60(C).
    16. Lili Jia & Martin Petrick, 2014. "How does land fragmentation affect off-farm labor supply: panel data evidence from China," Agricultural Economics, International Association of Agricultural Economists, vol. 45(3), pages 369-380, May.
    17. Gao, Li & Zhang, Wendong & Mei, Yingdan & Sam, Abdoul G. & Song, Yu & Jin, Shuqin, 2018. "Do farmers adopt fewer conservation practices on rented land? Evidence from straw retention in China," Land Use Policy, Elsevier, vol. 79(C), pages 609-621.
    18. Meng, Lei & Zhao, Min Qiang, 2018. "Permanent and temporary rural–urban migration in China: Evidence from field surveys," China Economic Review, Elsevier, vol. 51(C), pages 228-239.
    19. Shi, X. & Zhou, Y. & Heerink, N. & Ma, X., 2018. "The effect of land tenure governance on grain efficiency: Evidence from three provinces in eastern China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277477, International Association of Agricultural Economists.

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