Land Reform and the Competitiveness of China’s Cities

This chapter examines urban development issues and land market efficiency in Chinese cities, pre- and post-economic reforms in the 1980s. It notes that urban competitiveness is fundamental to continued economic development in China. For much of the post-war era Chinese cities were hindered by poor planning, lack of infrastructure and housing investment, and the absence of a real-estate market The chapter outlines how reforms in these areas in the 1980s for selected cities has improved their competitiveness and changed their physical structure. However, it is also noted that problems still persist that threaten sustainable urban economic development This includes poor infrastructure coordination between cities, congestion and pollution, land hoarding and housing shortages. Such problems need to be addressed if Chinese cities are to successfully absorb surplus rural immigrants and those displaced through the rationing of state owned enterprises. Consequently, various urban policy options from the literature are reviewed.