Abstract
This study investigates the impact of the land rental market on labor productivity in rural China. Particular attention is given to farm and nonfarm labor productivity. Using 2012 household-level data and a multinomial endogenous switching treatment regression technique, we find that rural households renting in farmland increased labor productivity in the farm sector by about 55%, whereas labor productivity in the nonfarm sector decreased by about 6%. We also find that rural households renting out farmland had lower labor productivity in both the farm and nonfarm sectors by 13% and 9%, respectively. More family labor transferred from the farm to the nonfarm sector after renting out land.
Original language | English (US) |
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Pages (from-to) | 93-115 |
Number of pages | 23 |
Journal | Canadian Journal of Agricultural Economics |
Volume | 69 |
Issue number | 1 |
DOIs | |
State | Published - Mar 2021 |
Keywords
- farm sector
- labor productivity
- land rental market
- nonfarm sector
ASJC Scopus subject areas
- Global and Planetary Change
- Ecology
- Animal Science and Zoology
- Agronomy and Crop Science
- Economics and Econometrics