IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v13y2024i11p1823-d1512965.html
   My bibliography  Save this article

The Prohibition of Forestation on Cultivated Land in China: A Difference-in-Differences Model Analysis of the Effects of Cutting Down Trees on Farmland Transfer

Author

Listed:
  • Guanghao Li

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

  • Guanyi Yin

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

  • Wei Wei

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

  • Qingzhi Sun

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

  • Zhan Zhang

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

  • Shenghao Zhu

    (College of Geography and Environment, Shandong Normal University, Jinan 250358, China)

Abstract

The implementation of China’s stringent farmland protection policy has resulted in the compulsory removal of trees from farmland, which has significantly impacted farmers’ willingness to transfer their land. To explain the impact of cutting trees on farmers’ land transfer, this study conducted a two-way fixed-effect difference-in-differences (DID) model based on a survey of 163 households in Daxiapo Village in China during 2020–2023. The results show that cutting trees significantly promotes farmland transfer among farmers. Moreover, the promotion effect of cutting trees is more pronounced when transferring land in than it is when transferring land out. For land plots with poor accessibility and fertility, the effects of transferring land out are more significant than for plots that are fertile and conveniently located. As a result, the prohibition of forestation on farmland has increased the contiguity of some land plots and improved the spatial configuration of farmland, but land fragmentation is still prominent on land owned by large-scale farmers. Therefore, this paper proposes two optimization scenarios to address the issue of farmland fragmentation and compares the feasibility of these plans in the short and long term. This paper suggests that short-term policies prohibiting forestation can trigger abrupt changes in farmland transfer patterns and drive further changes in the spatial configuration of farmland. Though some large-scale farming households were established through land transfer, the problem of plot fragmentation must be solved. This article presents several possible scenarios to aid in the design of more systematic policy systems to balance the protection of cultivated land, farmers’ willingness, and the spatial contiguity of cultivated land.

Suggested Citation

  • Guanghao Li & Guanyi Yin & Wei Wei & Qingzhi Sun & Zhan Zhang & Shenghao Zhu, 2024. "The Prohibition of Forestation on Cultivated Land in China: A Difference-in-Differences Model Analysis of the Effects of Cutting Down Trees on Farmland Transfer," Land, MDPI, vol. 13(11), pages 1-17, November.
  • Handle: RePEc:gam:jlands:v:13:y:2024:i:11:p:1823-:d:1512965
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/13/11/1823/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2073-445X/13/11/1823/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Caihua Xu & Qian Wang & Shah Fahad & Masaru Kagatsume & Jin Yu, 2022. "Impact of Off-Farm Employment on Farmland Transfer: Insight on the Mediating Role of Agricultural Production Service Outsourcing," Agriculture, MDPI, vol. 12(10), pages 1-16, October.
    2. Tibor Besedeš & Stefan Goldbach & Volker Nitsch, 2017. "You’re banned! The effect of sanctions on German cross-border financial flows," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 32(90), pages 263-318.
    3. Jie Cai & Ting Wang & Xianli Xia & Yazhi Chen & Hongqiang Lv & Ni Li, 2019. "Analysis on the Choice of Livelihood Strategy for Peasant Households Renting out Farmland: Evidence from Western Poverty-Stricken Areas in China," Sustainability, MDPI, vol. 11(5), pages 1-13, March.
    4. Scott R. Baker & Nicholas Bloom & Steven J. Davis, 2016. "Measuring Economic Policy Uncertainty," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 131(4), pages 1593-1636.
    5. Jiang, Yanfeng & Tang, Yu-Ting & Long, Hualou & Deng, Wu, 2022. "Land consolidation: A comparative research between Europe and China," Land Use Policy, Elsevier, vol. 112(C).
    6. Feng, Lei & Zhang, Minghui & Li, Yixin & Jiang, Yan, 2020. "Satisfaction principle or efficiency principle? Decision-making behavior of peasant households in China’s rural land market," Land Use Policy, Elsevier, vol. 99(C).
    7. Wison, Carter A., 2000. "Policy Regimes and Policy Change," Journal of Public Policy, Cambridge University Press, vol. 20(3), pages 247-274, December.
    8. Yan Sun & Yuanyuan Chang & Junna Liu & Xiaoping Ge & Gang-Jun Liu & Fu Chen, 2021. "Spatial Differentiation of Non-Grain Production on Cultivated Land and Its Driving Factors in Coastal China," Sustainability, MDPI, vol. 13(23), pages 1-18, November.
    9. Wu, Zhilong & Dai, Xuhuan & Li, Bo & Hou, Ying, 2021. "Livelihood consequences of the Grain for Green Programme across regional and household scales: A case study in the Loess Plateau," Land Use Policy, Elsevier, vol. 111(C).
    10. Cei, Leonardo & Stefani, Gianluca & Defrancesco, Edi & Lombardi, Ginevra Virginia, 2018. "Geographical indications: A first assessment of the impact on rural development in Italian NUTS3 regions," Land Use Policy, Elsevier, vol. 75(C), pages 620-630.
    11. Bo Chen & Na Yao, 2024. "Evolution Characteristics of Cultivated Land Protection Policy in China Based on Smith Policy Implementation," Agriculture, MDPI, vol. 14(7), pages 1-17, July.
    12. Pierre Damien Ntihinyurwa & Walter Timo de Vries, 2021. "Farmland Fragmentation, Farmland Consolidation and Food Security: Relationships, Research Lapses and Future Perspectives," Land, MDPI, vol. 10(2), pages 1-39, January.
    13. Lai, Zhaohao & Chen, Meiqiu & Liu, Taoju, 2020. "Changes in and prospects for cultivated land use since the reform and opening up in China," Land Use Policy, Elsevier, vol. 97(C).
    14. Mehdi Zandebasiri & José António Filipe & Javad Soosani & Mehdi Pourhashemi & Luca Salvati & Mário Nuno Mata & Pedro Neves Mata, 2020. "An Incomplete Information Static Game Evaluating Community-Based Forest Management in Zagros, Iran," Sustainability, MDPI, vol. 12(5), pages 1-14, February.
    15. Asiama, Kwabena Obeng & Voss, Winrich & Bennett, Rohan & Rubanje, Innocent, 2021. "Land consolidation activities in Sub-Saharan Africa towards the agenda 2030: A tale of three countries," Land Use Policy, Elsevier, vol. 101(C).
    16. Huseyin Gulen & Mihai Ion, 2016. "Editor's Choice Policy Uncertainty and Corporate Investment," The Review of Financial Studies, Society for Financial Studies, vol. 29(3), pages 523-564.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yan Sun & Xiaojun Song & Jing Ma & Haochen Yu & Xiaoping Ge & Gang-Jun Liu & Fu Chen, 2021. "Assessing the Effectiveness for Achieving Policy Objectives of Land Consolidation in China: Evidence from Project Practices in Jiangsu Province from 2001 to 2017," Sustainability, MDPI, vol. 13(24), pages 1-20, December.
    2. Khanh Hoang, 2022. "How does corporate R&D investment respond to climate policy uncertainty? Evidence from heavy emitter firms in the United States," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 936-949, July.
    3. Buu Kiem Dang & Duc Toan Vo & Nguyen Tuyet Minh Ha, 2025. "The impact of economic uncertainty and institutional quality on bank profitability: global evidence," International Economics and Economic Policy, Springer, vol. 22(3), pages 1-29, July.
    4. Raza, Syed Ali & Masood, Amna & Benkraiem, Ramzi & Urom, Christian, 2023. "Forecasting the volatility of precious metals prices with global economic policy uncertainty in pre and during the COVID-19 period: Novel evidence from the GARCH-MIDAS approach," Energy Economics, Elsevier, vol. 120(C).
    5. Danisman, Gamze Ozturk & Tarazi, Amine, 2024. "Economic policy uncertainty and bank stability: Size, capital, and liquidity matter," The Quarterly Review of Economics and Finance, Elsevier, vol. 93(C), pages 102-118.
    6. Ashton De Silva & Huu Nhan Duong & My Nguyen & Yen Ngoc Nguyen, 2023. "Bank risk in uncertain times: Do credit rationing and revenue diversification matter?," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 50(7-8), pages 1240-1273, July.
    7. Wang, Fengrong & Mbanyele, William & Muchenje, Linda, 2022. "Economic policy uncertainty and stock liquidity: The mitigating effect of information disclosure," Research in International Business and Finance, Elsevier, vol. 59(C).
    8. Wang, Xiaoxiao, 2024. "Bank affiliation and lottery-like characteristics of mutual funds," International Review of Economics & Finance, Elsevier, vol. 93(PB), pages 944-963.
    9. Sadok El Ghoul & Omrane Guedhami & Robert Nash & He (Helen) Wang, 2022. "Economic policy uncertainty and insider trading," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 45(4), pages 817-854, December.
    10. Suh, Hyunduk & Yang, Jin Young, 2021. "Global uncertainty and Global Economic Policy Uncertainty: Different implications for firm investment," Economics Letters, Elsevier, vol. 200(C).
    11. Angelidis, Timotheos & Michairinas, Athanasios & Sakkas, Athanasios, 2024. "World ESG performance and economic activity," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 93(C).
    12. Huang, Jin & Jin, Yong & Duan, Yang & She, Yanling, 2023. "Do Chinese firms speculate during high economic policy uncertainty? Evidence from wealth management products," International Review of Financial Analysis, Elsevier, vol. 87(C).
    13. Bing Wang & Kung‐Cheng Ho & Xinyu Liu & Yan Gu, 2022. "Industry cash flow volatility and stock price crash risk," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(2), pages 356-371, March.
    14. Cui, Xin & Wang, Chunfeng & Sensoy, Ahmet & Liao, Jing & Xie, Xiaochen, 2023. "Economic policy uncertainty and green innovation: Evidence from China," Economic Modelling, Elsevier, vol. 118(C).
    15. Chun Lu & James Routledge & Kam C. Chan & Tongxia Li, 2023. "Policy uncertainty and inventory behavior: Evidence from the US manufacturing sector," Economics and Politics, Wiley Blackwell, vol. 35(3), pages 919-948, November.
    16. Wang, Weilong & Xiao, Deheng & Wang, Jianlong & Wu, Haitao, 2024. "The cost of pollution in the digital era: Impediments of air pollution on enterprise digital transformation," Energy Economics, Elsevier, vol. 134(C).
    17. Zhou, Kexuan & Kumar, Sanjay & Yu, Linhui & Jiang, Xinlin, 2021. "The economic policy uncertainty and the choice of entry mode of outward foreign direct investment: Cross-border M&A or Greenfield Investment," Journal of Asian Economics, Elsevier, vol. 74(C).
    18. Wu, Ji & Yao, Yao & Chen, Minghua & Jeon, Bang Nam, 2020. "Economic uncertainty and bank risk: Evidence from emerging economies," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 68(C).
    19. Naif Alsagr & Stefan F. Van Hemmen Almazor, 2020. "Oil Rent, Geopolitical Risk and Banking Sector Performance," International Journal of Energy Economics and Policy, Econjournals, vol. 10(5), pages 305-314.
    20. Mufaddal Baxamusa & Sudip Datta & Anand Jha, 2021. "Does policy uncertainty increase relational risks? Evidence from strategic alliances," Financial Management, Financial Management Association International, vol. 50(3), pages 645-689, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlands:v:13:y:2024:i:11:p:1823-:d:1512965. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.