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Collectivization and China's Agricultural Crisis in 1959-1961

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  • Lin, Justin Yifu

Abstract

The agricultural crisis in China in 1959-61, after the initial success of the collectivization movement, resulted in 30 million extra deaths. In this paper, a game theory hypothesis proposes the main cause of this catastrophe. I argue that, because of the difficulty in supervising agricultural work, the success of an agricultural collective depends on a self-enforcing contract, however, can be sustained only in a repeated game. In the fall of 1958, the right to withdraw from a collective was deprived. The nature of the collectivization was thus changed from a repeated game to a one-time game. As a result, the self-enforcing contract could not be sustained and agricultural productivity collapsed. Copyright 1990 by University of Chicago Press.

Suggested Citation

  • Lin, Justin Yifu, 1990. "Collectivization and China's Agricultural Crisis in 1959-1961," Journal of Political Economy, University of Chicago Press, vol. 98(6), pages 1228-1252, December.
    • Handle: RePEc:ucp:jpolec:v:98:y:1990:i:6:p:1228-52
    DOI: 10.1086/261732
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