IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v14y2025i2p294-d1580473.html
   My bibliography  Save this article

The Influence of Rural Land Transfer on Rural Households’ Income: A Case Study in Anhui Province, China

Author

Listed:
  • Yuting Xu

    (School of Geography and Tourism, Anhui Normal University, Wuhu 241002, China)

  • Yitian Lin

    (School of Geography and Tourism, Anhui Normal University, Wuhu 241002, China)

  • Hong Yang

    (Department of Geography and Environmental Science, University of Reading, Reading RG6 6UR, UK)

  • Guoliang Xu

    (School of Public Finance and Public Administration, Jiangxi University of Finance and Economics, Nanchang 330013, China)

  • Chao Cheng

    (School of Geography and Tourism, Anhui Normal University, Wuhu 241002, China)

Abstract

This paper looks into the impact of China’s new rural land reform, the three rights separation policy (TRSP), on Chinese farmers’ income. Based on data collected from 360 rural households in Anhui Province, China, 2021, this paper constructed the influence pathways of the TRSP on household income and estimated the effects along different pathways using the structural equation model (SEM) model. It showed that through expanding the planting scale and promoting resource-use efficiency, the new land tenure system can indirectly increase transfer-in household income. However, the TRSP has a significant negative direct effect on transfer-out households’ income, and only a slight impact on transferring rural labor to other industries or relaxing the liquidity constraint. In short, the TRSP’s effect on income gains is more prominent in transfer-in households than transfer-out ones, which in the long run would lead to an increased income gap, more so if transfer-out households lack easy access to non-farm employment. Our findings suggest that public authorities should respect farmers’ autonomy in land transfer decisions and pay special attention to labor transfer in poverty alleviation. Meanwhile, widening income disparities among different groups should be heeded while implementing local governments’ service roles.

Suggested Citation

  • Yuting Xu & Yitian Lin & Hong Yang & Guoliang Xu & Chao Cheng, 2025. "The Influence of Rural Land Transfer on Rural Households’ Income: A Case Study in Anhui Province, China," Land, MDPI, vol. 14(2), pages 1-21, January.
    • Handle: RePEc:gam:jlands:v:14:y:2025:i:2:p:294-:d:1580473
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/14/2/294/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2073-445X/14/2/294/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Zhang, Xiaobin & Ye, Yanmei & Wang, Mengran & Yu, Zhenning & Luo, Jiaojiao, 2018. "The micro administrative mechanism of land reallocation in land consolidation: A perspective from collective action," Land Use Policy, Elsevier, vol. 70(C), pages 547-558.
    2. Songqing Jin & T. S. Jayne, 2013. "Land Rental Markets in Kenya: Implications for Efficiency, Equity, Household Income, and Poverty," Land Economics, University of Wisconsin Press, vol. 89(2), pages 246-271.
    3. Uwacu Alban Singirankabo & Maurits Willem Ertsen, 2020. "Relations between Land Tenure Security and Agricultural Productivity: Exploring the Effect of Land Registration," Land, MDPI, vol. 9(5), pages 1-18, May.
    4. Wang, Xiang & Shao, Shuai & Li, Ling, 2019. "Agricultural inputs, urbanization, and urban-rural income disparity: Evidence from China," China Economic Review, Elsevier, vol. 55(C), pages 67-84.
    5. Lili Chen & Hongsheng Chen & Chaohui Zou & Ye Liu, 2021. "The Impact of Farmland Transfer on Rural Households’ Income Structure in the Context of Household Differentiation: A Case Study of Heilongjiang Province, China," Land, MDPI, vol. 10(4), pages 1-20, April.
    6. Min, Shi & Waibel, Hermann & Huang, Jikun, 2017. "Smallholder participation in the land rental market in a mountainous region of Southern China: Impact of population aging, land tenure security and ethnicity," Land Use Policy, Elsevier, vol. 68(C), pages 625-637.
    7. Li, Chengyou & Jiao, Yong & Sun, Tao & Liu, Anran, 2021. "Alleviating multi-dimensional poverty through land transfer: Evidence from poverty-stricken villages in China," China Economic Review, Elsevier, vol. 69(C).
    8. 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).
    9. Zhang, Lan & Feng, Shuyi & Heerink, Nico & Qu, Futian & Kuyvenhoven, Arie, 2018. "How do land rental markets affect household income? Evidence from rural Jiangsu, P.R. China," Land Use Policy, Elsevier, vol. 74(C), pages 151-165.
    10. Yuzheng Zhang & Mengjie Bie & Yundong Li & Shuxian Zhang, 2024. "Promoting Sustainability: Land Transfer and Income Inequality Among Farm Households," Land, MDPI, vol. 13(11), pages 1-17, October.
    11. Wang, Hui & Riedinger, Jeffrey & Jin, Songqing, 2015. "Land documents, tenure security and land rental development: Panel evidence from China," China Economic Review, Elsevier, vol. 36(C), pages 220-235.
    12. Jian Zhang & Ashok K. Mishra & Peixin Zhu, 2021. "Land rental markets and labor productivity: Evidence from rural China," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 69(1), pages 93-115, March.
    13. Justin Yifu Lin, 1987. "The Household Responsibility System Reform in China: A Peasant's Institutional Choice," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 69(2), pages 410-415.
    14. Benjian Wu & Yiyuan Rong & Xinyu Liang & Haibo Zhu & Xue Shi, 2024. "Can Land Transfer Alleviate Multidimensional Relative Poverty in Rural Areas?," Land, MDPI, vol. 13(11), pages 1-24, October.
    15. Xueqi Wang & Zhongguo Xu & Guan Li & Yuefei Zhuo & Wei Zou, 2023. "Farmland Transfer and Income Distribution Effect of Heterogeneous Farmers with Livelihood Capital: Evidence from CFPS," Land, MDPI, vol. 12(7), pages 1-20, July.
    16. Gong, Maogang & Li, Hanjin & Elahi, Ehsan, 2022. "Three Rights Separation reform and its impact over farm’s productivity: A case study of China," Land Use Policy, Elsevier, vol. 122(C).
    17. Tan, Rong & Wang, Rongyu & Heerink, Nico, 2020. "Liberalizing rural-to-urban construction land transfers in China: Distribution effects," China Economic Review, Elsevier, vol. 60(C).
    18. Yi, Fujin & Sun, Dingqiang, 2014. "Grain Subsidy, Liquidity Constraints and Food security—Impact of the Grain Subsidy Program on the Grain-Sown Areas in China," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 169779, Agricultural and Applied Economics Association.
    19. Wei Wang & Xin Luo & Chongmei Zhang & Jiahao Song & Dingde Xu, 2021. "Can Land Transfer Alleviate the Poverty of the Elderly? Evidence from Rural China," IJERPH, MDPI, vol. 18(21), pages 1-15, October.
    20. repec:hal:journl:hal-04085290 is not listed on IDEAS
    21. Wenwu Zhang & Shunji Zhao & Jinguo Wang & Xinyao Xia & Hongkui Jin, 2024. "Rural Land Circulation and Peasant Household Income Growth—Empirical Research Based on Structural Decomposition," Sustainability, MDPI, vol. 16(16), pages 1-24, August.
    22. Zheng, Linyi, 2024. "Big hands holding small hands: The role of new agricultural operating entities in farmland abandonment," Food Policy, Elsevier, vol. 123(C).
    23. Cull, Robert & Gan, Li & Gao, Nan & Xu, Lixin Colin, 2022. "Social capital, finance, and consumption: Evidence from a representative sample of Chinese households," Journal of Banking & Finance, Elsevier, vol. 145(C).
    24. Wenjing Han & Zhengfeng Zhang & Xiaoling Zhang & Li He, 2021. "Farmland Rental Participation, Agricultural Productivity, and Household Income: Evidence from Rural China," Land, MDPI, vol. 10(9), pages 1-22, August.
    25. Congjia Huo & Lingming Chen, 2021. "Research on the Impact of Land Circulation on the Income Gap of Rural Households: Evidence from CHIP," Land, MDPI, vol. 10(8), pages 1-20, July.
    26. Jiandong Chen & Sishi Rong & Malin Song, 2021. "Poverty Vulnerability and Poverty Causes in Rural China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 153(1), pages 65-91, January.
    27. Li, Rui & Li, Qinghai & Lv, Xiaofeng & Zhu, Xi, 2019. "The land rental of Chinese rural households and its welfare effects," China Economic Review, Elsevier, vol. 54(C), pages 204-217.
    28. Xiaolin Guo & Guanming Shi & Linyi Zheng & Wenrong Qian, 2022. "How Does the Land Rental Market Participation Affect Household Efficiency? Evidence from Rural China," IJERPH, MDPI, vol. 19(23), pages 1-14, December.
    29. Guanghua Wan & Jiansheng Zhang & Congmin Zuo, 2023. "The Welfare Effects of Land Reform: Lessons from Yunnan, China," Journal of Development Studies, Taylor & Francis Journals, vol. 59(10), pages 1608-1625, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xueqi Wang & Zhongguo Xu & Guan Li & Yuefei Zhuo & Wei Zou, 2023. "Farmland Transfer and Income Distribution Effect of Heterogeneous Farmers with Livelihood Capital: Evidence from CFPS," Land, MDPI, vol. 12(7), pages 1-20, July.
    2. Wenjing Han & Zhengfeng Zhang & Xiaoling Zhang & Li He, 2021. "Farmland Rental Participation, Agricultural Productivity, and Household Income: Evidence from Rural China," Land, MDPI, vol. 10(9), pages 1-22, August.
    3. Lian Ke & Shan Cheng & Diqiang Chen & Ying Li, 2023. "Why Is the Income Effect of Farmland Transfer Inconsistent between Transferred-Out and Transferred-In Households?," Sustainability, MDPI, vol. 15(9), pages 1-19, April.
    4. Benjian Wu & Yiyuan Rong & Xinyu Liang & Haibo Zhu & Xue Shi, 2024. "Can Land Transfer Alleviate Multidimensional Relative Poverty in Rural Areas?," Land, MDPI, vol. 13(11), pages 1-24, October.
    5. Gang Li & Xufeng Cui & Lan Pan & Yufei Wang, 2023. "Land Transfer and Rural Household Consumption Diversity: Promoting or Inhibiting?," Land, MDPI, vol. 12(1), pages 1-16, January.
    6. Hui Xiao & Xian Liang & Shu Xing & Longjunjiang Huang & Fangting Xie, 2023. "Does Land Lease Affect the Multidimensional Poverty Alleviation? The Evidence from Jiangxi, China," Land, MDPI, vol. 12(5), pages 1-20, April.
    7. Keyan Li & Can Liu & Junlong Ma & Martinson Ankrah Twumasi, 2023. "Can Land Circulation Improve the Health of Middle-Aged and Older Farmers in China?," Land, MDPI, vol. 12(6), pages 1-16, June.
    8. Li, Chengyou & Jiao, Yong & Sun, Tao & Liu, Anran, 2021. "Alleviating multi-dimensional poverty through land transfer: Evidence from poverty-stricken villages in China," China Economic Review, Elsevier, vol. 69(C).
    9. Li, Xingguang, 2023. "Farmland rental market participation and residential energy consumption: Evidence from rural areas in China," Energy, Elsevier, vol. 268(C).
    10. Xiaonan Zhao & Feng Lan, 2023. "The Impact of Livelihood Capital Endowment on Household Poverty Alleviation: The Mediating Effect of Land Transfer," Land, MDPI, vol. 12(7), pages 1-17, July.
    11. Qinghao Wang & Chentao Zhang & Mingyue Gong & Beiqi Zhu, 2024. "Village Organization and Sustainable Growth of Farmers’ Income: An Empirical Study Based on Dynamic Survey Data of the Labor Force in China," Sustainability, MDPI, vol. 16(21), pages 1-25, October.
    12. Shichao Yuan & Jian Wang, 2022. "Involution Effect: Does China’s Rural Land Transfer Market Still Have Efficiency?," Land, MDPI, vol. 11(5), pages 1-18, May.
    13. Zhang, Cheng & Nie, Kunxi & Zhu, Yueji, 2024. "Participation in land rental and labor markets and agricultural economic performance of banana farmers in China," Land Use Policy, Elsevier, vol. 146(C).
    14. Weiguo Fan & Wei Yao & Kehan Chen, 2023. "Integrating Energy Systems Language and Emergy Approach to Simulate and Analyze the Energy Flow Process of Land Transfer," Land, MDPI, vol. 12(5), pages 1-24, May.
    15. Meseret Abatechanie & Baozhong Cai & Fang Shi & Yuanji Huang, 2022. "The Environmental and Socio-Economic Effect of Farmland Management Right Transfer in China: A Systematic Review," Land, MDPI, vol. 11(8), pages 1-21, August.
    16. Li, Rui & Li, Qinghai & Lv, Xiaofeng & Zhu, Xi, 2019. "The land rental of Chinese rural households and its welfare effects," China Economic Review, Elsevier, vol. 54(C), pages 204-217.
    17. Chaozheng Zhang & Danling Chen, 2021. "Fragmentation Reduction through Farmer-Led Land Transfer and Consolidation? Experiences of Rice Farmers in Wuhan Metropolitan Area, China," Agriculture, MDPI, vol. 11(7), pages 1-14, July.
    18. Juan Zhang & Qinping Chen & Hongxi Chen & Zehua Feng, 2023. "How Does Farmland Tenure Security Affect Rural Household Income? Empirical Evidence of China’s Survey Data," Sustainability, MDPI, vol. 15(7), pages 1-17, March.
    19. 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).
    20. Chen, Conghui & Liu, Bing & Wang, Ziyou, 2023. "Can land transfer relax credit constraints? Evidence from China," Economic Modelling, Elsevier, vol. 122(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlands:v:14:y:2025:i:2:p:294-:d:1580473. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.