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Mechanization services, farm productivity and institutional innovation in China

Author

Listed:
  • Yi Qing
  • Moyu Chen
  • Yu Sheng
  • Jikun Huang

Abstract

Purpose - The purpose of this paper is to investigate the impact of mechanization services on farm productivity in Northern China from an empirical perspective, with the aim to identify the underlying market and institutional barriers. Design/methodology/approach - The authors apply the regression method with the control of village fixed effects to examining the relationship between capital–labor ratio, mechanization service ratio and farm productivity, using the panel data collected in 2013 and 2015 by CCAP. Findings - Mechanization services improve farm productivity through substituting labor, but it may generate a less positive impact on farms who do not have self-owned capital equipment. Originality/value - It is the first study to investigate how mechanization services affect farm productivity for grain producers in Northern China.

Suggested Citation

  • Yi Qing & Moyu Chen & Yu Sheng & Jikun Huang, 2019. "Mechanization services, farm productivity and institutional innovation in China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 11(3), pages 536-554, June.
    • Handle: RePEc:eme:caerpp:caer-12-2018-0244
    DOI: 10.1108/CAER-12-2018-0244
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    Citations

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    Cited by:

    1. Qian, Long & Lu, Hua & Gao, Qiang & Lu, Hualiang, 2022. "Household-owned farm machinery vs. outsourced machinery services: The impact of agricultural mechanization on the land leasing behavior of relatively large-scale farmers in China," Land Use Policy, Elsevier, vol. 115(C).
    2. Sushil Gupta & Hossein Rikhtehgar Berenji & Manish Shukla & Nagesh N. Murthy, 2023. "Opportunities in farming research from an operations management perspective," Production and Operations Management, Production and Operations Management Society, vol. 32(6), pages 1577-1596, June.
    3. Zakia Batool & Qurat ul Ain & Abdul Rehman, 2024. "Exploring the effects of farm mechanization, financial development, and renewable energy on China’s food production," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(7), pages 18883-18902, July.
    4. Tongwei Qiu & S. T. Boris Choy & Yifei Li & Biliang Luo & Jing Li, 2021. "Farmers' Exit from Land Operation in Rural China: Does the Price of Agricultural Mechanization Services Matter?," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 29(2), pages 99-122, March.
    5. Mohammad Wais Azimy & Ghulam Dastgir Khan & Yuichiro Yoshida & Keisuke Kawata, 2020. "Measuring the Impacts of Saffron Production Promotion Measures on Farmers’ Policy Acceptance Probability: A Randomized Conjoint Field Experiment in Herat Province, Afghanistan," Sustainability, MDPI, vol. 12(10), pages 1-15, May.
    6. Meng Meng & Leng Yu & Xiaohua Yu, 2024. "Machinery structure, machinery subsidies, and agricultural productivity: Evidence from China," Agricultural Economics, International Association of Agricultural Economists, vol. 55(2), pages 223-246, March.
    7. repec:ags:aaea22:335656 is not listed on IDEAS
    8. Liu, Yan & Heerink, Nico & Li, Fan & Shi, Xiaoping, 2022. "Do agricultural machinery services promote village farmland rental markets? Theory and evidence from a case study in the North China plain," Land Use Policy, Elsevier, vol. 122(C).
    9. Xi Yu & Xiyang Yin & Yuying Liu & Dongmei Li, 2021. "Do Agricultural Machinery Services Facilitate Land Transfer? Evidence from Rice Farmers in Sichuan Province, China," Land, MDPI, vol. 10(5), pages 1-14, April.
    10. Zhang, Jian & Mishra, Ashok K. & Zhu, Peixin & Li, Xiaoshun, 2020. "Land rental market and agricultural labor productivity in rural China: A mediation analysis," World Development, Elsevier, vol. 135(C).
    11. Khanal Arjun Prasad, 2020. "A Case Of Palpa District Of Nepal," Acta Mechanica Malaysia (AMM), Zibeline International Publishing, vol. 3(1), pages 16-19, May.
    12. Xin Deng & Zhongcheng Yan & Dingde Xu & Yanbin Qi, 2020. "Land Registration, Adjustment Experience, and Agricultural Machinery Adoption: Empirical Analysis from Rural China," Land, MDPI, vol. 9(3), pages 1-14, March.
    13. Sui, Jianli & Lv, Wenqiang & Xie, Huailing & Xu, Xiaodong, 2024. "Towards Low-Carbon Agricultural Production: Evidence from China's Main Grain-Producing Areas," Finance Research Letters, Elsevier, vol. 60(C).
    14. Xiuhao Quan & Reiner Doluschitz, 2021. "Factors Influencing the Adoption of Agricultural Machinery by Chinese Maize Farmers," Agriculture, MDPI, vol. 11(11), pages 1-11, November.
    15. Qiu, Tongwei & Shi, Xinjie & He, Qinying & Luo, Biliang, 2021. "The paradox of developing agricultural mechanization services in China: Supporting or kicking out smallholder farmers?," China Economic Review, Elsevier, vol. 69(C).
    16. Meili Huan & Fengxia Dong & Liang Chi, 2022. "Mechanization services, factor allocation, and farm efficiency: Evidence from China," Review of Development Economics, Wiley Blackwell, vol. 26(3), pages 1618-1639, August.
    17. Xiaoshi Zhou & Wanglin Ma & Gucheng Li & Huanguang Qiu, 2020. "Farm machinery use and maize yields in China: an analysis accounting for selection bias and heterogeneity," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(4), pages 1282-1307, October.
    18. Liu, Xinyue & Wang, Xiaobing & Xu, Zhigang, 2023. "The polarization and constraints of scale farming in China under the impact of rising wages," Journal of Asian Economics, Elsevier, vol. 86(C).

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