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Article
Inverse relationship between productivity and farm size: The case of China
Contemporary Economic Policy (2011)
  • Zhuo Chen
  • Wallace Huffman, Iowa State University
  • Scott Rozelle, Stanford University
Abstract
In developing agricultures, past research has suggested an inverse relationship between farm productivity and size. The raw data from China show such an inverse relationship. However, the inverse relationship disappears after we instrument for land area using the fact that one of the objectives of the land allocation process in rural China is to ensure local households to meet their nutritional needs. The empirical inverse relationship is likely due to the failure to account for the unobserved land quality that is unevenly distributed across the farm size continuum, rather than inherent to China's agriculture
Keywords
  • Inverse Relation,
  • China's Agriculture
Publication Date
2011
Citation Information
Zhuo Chen, Wallace Huffman and Scott Rozelle. "Inverse relationship between productivity and farm size: The case of China" Contemporary Economic Policy Vol. 29 Iss. 4 (2011)
Available at: http://works.bepress.com/zhuo_chen/32/