Decisions by Chinese households regarding renting in arable land—The impact of tenure security perceptions and trust

Xianlei Ma, Nico Heerink, Ekko van Ierland, Hairu Lang, Xiaoping Shi*

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

Abstract

Policies aimed at strengthening tenure security through the elimination of land reallocations and provision of land certificates have been implemented with different degrees of success in rural China. In this study, we examine the impact of tenure security perceptions and trust on household decisions to rent in land in a region where tenure security is high and in a region where households face much lower land tenure security. Our regression results suggest that when land tenure is less secure, household perceptions of tenure security positively affect decisions to rent in additional land and the size of the rented land, whereas trust is important for the choice between oral and written contracts. When land tenure is relatively secure, household tenure security perceptions are less relevant, and trust becomes more important for land rental decisions. However, tenure security perceptions do seem to play a role in the choice between oral and written contracts in such high tenure security environments.

Original languageEnglish
Article number101328
JournalChina Economic Review
DOIs
Publication statusE-pub ahead of print - 30 Jul 2019

Fingerprint

Tenure security
Household
Land tenure
Rent
Reallocation
Rural China

Keywords

  • China
  • Land rental market
  • Property rights
  • Tenure security
  • Trust

Cite this

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title = "Decisions by Chinese households regarding renting in arable land—The impact of tenure security perceptions and trust",
abstract = "Policies aimed at strengthening tenure security through the elimination of land reallocations and provision of land certificates have been implemented with different degrees of success in rural China. In this study, we examine the impact of tenure security perceptions and trust on household decisions to rent in land in a region where tenure security is high and in a region where households face much lower land tenure security. Our regression results suggest that when land tenure is less secure, household perceptions of tenure security positively affect decisions to rent in additional land and the size of the rented land, whereas trust is important for the choice between oral and written contracts. When land tenure is relatively secure, household tenure security perceptions are less relevant, and trust becomes more important for land rental decisions. However, tenure security perceptions do seem to play a role in the choice between oral and written contracts in such high tenure security environments.",
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Decisions by Chinese households regarding renting in arable land—The impact of tenure security perceptions and trust. / Ma, Xianlei; Heerink, Nico; van Ierland, Ekko; Lang, Hairu; Shi, Xiaoping.

In: China Economic Review, 30.07.2019.

Research output: Contribution to journalArticleAcademicpeer-review

TY - JOUR

T1 - Decisions by Chinese households regarding renting in arable land—The impact of tenure security perceptions and trust

AU - Ma, Xianlei

AU - Heerink, Nico

AU - van Ierland, Ekko

AU - Lang, Hairu

AU - Shi, Xiaoping

PY - 2019/7/30

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N2 - Policies aimed at strengthening tenure security through the elimination of land reallocations and provision of land certificates have been implemented with different degrees of success in rural China. In this study, we examine the impact of tenure security perceptions and trust on household decisions to rent in land in a region where tenure security is high and in a region where households face much lower land tenure security. Our regression results suggest that when land tenure is less secure, household perceptions of tenure security positively affect decisions to rent in additional land and the size of the rented land, whereas trust is important for the choice between oral and written contracts. When land tenure is relatively secure, household tenure security perceptions are less relevant, and trust becomes more important for land rental decisions. However, tenure security perceptions do seem to play a role in the choice between oral and written contracts in such high tenure security environments.

AB - Policies aimed at strengthening tenure security through the elimination of land reallocations and provision of land certificates have been implemented with different degrees of success in rural China. In this study, we examine the impact of tenure security perceptions and trust on household decisions to rent in land in a region where tenure security is high and in a region where households face much lower land tenure security. Our regression results suggest that when land tenure is less secure, household perceptions of tenure security positively affect decisions to rent in additional land and the size of the rented land, whereas trust is important for the choice between oral and written contracts. When land tenure is relatively secure, household tenure security perceptions are less relevant, and trust becomes more important for land rental decisions. However, tenure security perceptions do seem to play a role in the choice between oral and written contracts in such high tenure security environments.

KW - China

KW - Land rental market

KW - Property rights

KW - Tenure security

KW - Trust

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DO - 10.1016/j.chieco.2019.101328

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