URBANIZATION AND URBAN SYSTEMS IN THE PEOPLE'S REPUBLIC OF CHINA: RESEARCH FINDINGS AND POLICY RECOMMENDATIONS

Iris Claus, Les Oxley, Ming Lu and Guanghua Wan

Journal of Economic Surveys, 2014, vol. 28, issue 4, 671-685

Abstract: This paper provides a literature review on urbanization in the People's Republic of China (PRC). Research findings indicate that the PRC's urbanization is incomplete: its level of urbanization lags behind its industrialization and development status, and while there are too many small cities, the large cities are not large enough. This is mainly because of the institutional constraints exerted by the Hukou and land systems on labor mobility, which have led to segregation, efficiency loss, distortion in the urban system and adverse impacts on equity, as discussed in this study. Major policy recommendations are offered for removing the distortions and steering the PRC's urbanization onto an efficient and equitable path.

Date: 2014
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