Resources Science, Volume. 42, Issue 9, 1643(2020)
Subdivision of rights-based land tenure reform aims at improving the integrity and security of land right bundles. This study theoretically and empirically investigated the impacts of both integrity and security of farmland on renting activities under the “three rights separation” institutional background. Data used in the study were collected from a survey in Liaoning Province that covered 811 households. The results show that: (1) Major influencing effects of tenure integrity and security on households’ decision making of farmland transfer are the transaction cost reduction effect and the value enhancement guarantee effect. The strength of influence depends mainly on whether tenure integrity and security can be transferred from the leaser to the tenant. (2) Households’ perception of integrity of different land rights has significantly different impact on households’ decision making of farmland transfer. Specifically, households with higher level of perceived integrity are more likely to participate in land renting activities. Households with a higher level of perceived tenure integrity of mortgage right are more likely to rent in land but less likely to rent out land. In contrast, households with higher level of perceived integrity of inheritance right are more likely to rent out land but less likely to rent in land. (3) Households’ perception of tenure security of different land rights has significant positive impact on households’ decision making of farmland transfer. Specifically, households who perceive land certificate to be crucial in protecting land rights are more likely to participate in land renting activities. Households who perceive high possibilities of land adjustment in the future are less likely to engage in land renting activities. To construct a feasible synergistic property rights governance system that integrates formal state property rights governance rules and informal village governance is necessary in order to promote the development of farmland rental market within the “three rights separation” land tenure reform institutional framework. From the state’s perspective, the right division rationale of land tenure reform and construction of relevant right protection system at the legislation level should be continued. At the village level, it is crucial to take actions to guarantee the fulfillment of land rental related contracts in addition to constructing the right protection system, and to relax constraints on channels for the right bundles transfer from the leaser to the tenant.
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Abudikeranmu Abudureheman·, Xiaoping SHI, Fangping RAO, Yuepeng ZHOU, Xianlei MA.
Received: Nov. 28, 2019
Accepted: --
Published Online: Apr. 23, 2021
The Author Email: MA Xianlei (maxianlei@njau.edu.cn)