Urban Land Use Efficiency under Resource-Based Economic Transformation—A Case Study of Shanxi Province

Shanxi, one of China’s provinces, has been approved by the State Council as the only state-level comprehensive reform zone for resource-based economic transformation in 2010. Consequently, the implementation of National Resource-based Cities Sustainable Development Planning (2013–2020) and The State Council on Central and Western Regions Undertaking of Industrial Transformation Guide were also introduced. As a result, many agricultural lands were urbanized. The question is whether the transformed land was used efficiently. Existing research is limited regarding the impact of the government-backed transformation of the resource-based economy, industrial restructuring, and urbanization on land use efficiency. This research investigates urban land use efficiency under the government-backed resource-based economy transformation using the Bootstrap-DEA and Bootstrap-Malmquist methods. The land use efficiency and land productivity indexes were produced. Based on the empirical study of 11 prefectural cities, the results suggest that the level of economic development and industrial upgrading are the main determinants of land use efficiency. The total land productivity index declined after the economic reform was initiated. The findings imply that the government must enhance monitoring and auditing during policy implementation and evaluate the policy effects after for further improvement. With the scarcity of land resources and urban expansion in many cities worldwide, this research also provides an approach to determining the main determinants of land use efficiency that could guide our understanding of the impact of the future built environment.