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How Social Networks Affect Farmers’ Willingness to Withdraw from Homesteads: Evidence from Jiangsu Province, China

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  • Youlin Guo

    (Business School, Yangzhou University, Yangzhou 225127, China)

  • Rongtian Zhang

    (Institute of Rural Revitalization Strategy, Yangzhou University, Yangzhou 225009, China)

Abstract

The orderly withdrawal from rural homesteads is an important path for the smooth promotion of rural revitalization and new urbanization. This study aims to explore the influence and mechanism of social networks on the willingness of farm households to withdraw from homesteads. The study is based on a sample of 1971 farmer households in Jiangsu Province and analyzes the data using the logit model and mediation effect model. The results show that the social network has a significant positive effect on farmers’ willingness to withdraw from homesteads. As the social network expands, the probability for forming the willingness to withdraw from the homestead is higher for farmers with weaker social networks. In addition, the effect of social networks is different according to the level of regional economic development. The mechanism analysis suggests that social networks can indirectly increase the willingness to withdraw from homesteads by improving farmers’ risk resilience. Based on these findings, this study puts forward targeted policy recommendations: focusing on the cultivation and enhancement of farmers’ social networks, strengthening farmers’ risk resilience, and designing differentiated homestead exit policies.

Suggested Citation

  • Youlin Guo & Rongtian Zhang, 2024. "How Social Networks Affect Farmers’ Willingness to Withdraw from Homesteads: Evidence from Jiangsu Province, China," Agriculture, MDPI, vol. 14(5), pages 1-16, April.
    • Handle: RePEc:gam:jagris:v:14:y:2024:i:5:p:673-:d:1383434
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    References listed on IDEAS

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    1. Cynthia Kinnan & Robert Townsend, 2012. "Kinship and Financial Networks, Formal Financial Access, and Risk Reduction," American Economic Review, American Economic Association, vol. 102(3), pages 289-293, May.
    2. Konrad B. Burchardi & Tarek A. Hassan, 2013. "The Economic Impact of Social Ties: Evidence from German Reunification," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 128(3), pages 1219-1271.
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