Exploring determinants and heterogeneity in farmland transfer governance: Market, relationship and mixed governance

As a means of market-based farmland resource allocation, the influence of farmland transfer on improving agricultural resource allocation and utilisation efficiency is indisputable, and the choice of governance model is crucial to both the scale and stability of farmland transfer. This study uses a nationally representative dataset from the China Rural Revitalization Survey (2020) and employs binary logit, instrumental variable method, and subgroup analysis to analyse key factors affecting farmland transfer governance models and examine the appropriate governance model for different regions and agricultural operators. The relevant results are threefold. First, farmland transfer governance can be categorised into relationship, market and mixed governance models. Second, the market governance model is primarily driven by information access and the farmland transfer environment. Alternatively, the relationship governance model is chiefly influenced by existing social networks. However, the mixed governance model is shaped by the combined effects of information access, the farmland transfer environment and social network. Third, notable heterogeneity exists in the governance models across regions and agricultural operators. Market governance is preferred in the central region, relationship governance in the western region and mixed governance in the eastern region. Small- and medium-scale operators are inclined towards mixed governance, while large-scale operators tend towards market governance. Based on these findings, we recommend strengthening farmland transfer service platform development, fully leveraging the influence of village collectives, grassroots governments and social networks and strategically tailoring differentiated governance models to meet the needs of regions and agricultural operators.