Property Rights Reform to Support China's Rural–Urban Integration: Village‐Level Evidence from the Chengdu Experiment

Klaus Deininger, Songqing Jin, Shouying Liu, Ting Shao and Fang Xia

Oxford Bulletin of Economics and Statistics, 2019, vol. 81, issue 6, 1214-1251

Abstract: As part of a national experiment, in 2008, Chengdu prefecture launched a series of property rights reforms, among them complete registration of all land and measures to ease transferability and eliminate labour market restrictions. A comparison of villages inside and outside the prefecture's border using a difference‐in‐difference approach suggests that the reforms have reduced administrative reallocations; aligned land use closer to economic incentives, mainly through market transfers; and stimulated enterprise startups. These results, most of which are more pronounced for villages closer to Chengdu city, illuminate the potential gains from factor market reform.

Date: 2019
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