Abstract

“Small, scattered and weak”, i.e., small-scale arable land holdings, decentralized operation, and weak effectiveness are common agricultural development problems that most developing countries face. Promoting the moderate-scale operation and modernization development of agriculture under the premise of protecting social stability is a complex and systemic process. In the evolution of China’s agricultural business model and land system reform, the Land Shareholding Cooperative System (LSCS) emerged. However, few studies have focused on the relationship between rural land institution innovation and agricultural economic development. We found great potential in this approach in solving the dilemma of “small, scattered, weak” in agricultural development, while protecting farmers’ land property rights. We described the cases of Tangyue, Zhouchong, and Chongzhou in rural China through the research method to illustrate how this occurred. This approach takes full advantage of the combination of “cooperative” and “shareholding” while alleviating the incompatibility of the historical allocation of arable land with urbanization and agricultural development. Balancing the development of factor markets and protecting the welfare of members contributes to its effective implementation. This study provides valuable examples of agricultural development in similar areas and countries.

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