Property rights, labour markets, and efficiency in a transition economy: the case of rural China

Dwayne Benjamin () and Loren Brandt ()

Canadian Journal of Economics, 2002, vol. 35, issue 4, pages 689-716

Abstract: We investigate the consequences of imperfect factor market development for farm efficiency in North China. We estimate the extent to which an inverse relationship in farm productivity can be attributed to the administrative (as opposed to market) allocation of land, combined with unevenly developed off-farm opportunities. Using a new household survey, we find considerable inefficiency in the use of labour. This inefficiency is alleviated by external labour markets and, to a limited degree, by administrative reallocations. The reallocations do not go far enough, however, which raises important questions about constraints on rental activity and property rights formation more generally.

JEL-codes: Q15 O12 (search for similar items in EconPapers)
Date: 2002
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Related works:
Working Paper: Property Rights, Labor Markets, and Efficiency in a Transition Economy: The Case of Rural China (2000)
Working Paper: Property Rights, Labour Markets, and Efficiency in a Transition Economy: The Case of Rural China (2002)
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