Geographical Mobility, Income, Life Satisfaction and Family Size Preferences: An Empirical Study on Rural Households in Shaanxi and Henan Provinces in China

Jiangsheng Chen,Hong Yang

doi:10.1007/s11205-015-1102-7

Jiangsheng Chen, Hong Yang

Open Access

https://doi.org/10.1007/s11205-015-1102-7

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Abstract

Employing data from the China rural–urban mobility survey conducted in 2010, this study investigates the influence of family demographic characteristics on the income, life satisfaction, and potential for rural–urban mobility at the rural household level of two provinces of China: Shaanxi and Henan. A larger labor force in a rural household was found to reduce a family’s ability or inclination to move to a city. The findings reveal that family size negatively affects the average income per family member and reduces the marginal income of the labor force and that minor children can improve the life satisfaction of family members. We conclude that a larger family size does not translate to more benefits for a rural household. Family size preference is found to be a reflection of parents’ concerns about elderly care and is deemed to be unfavorable for urbanization in P. R. China.

Highlights

Recent social, economic, and environmental problems are believed to be primarily related to rapid increases in population (Biddlecom et al 2005; Potts 2007)
Employing data from the China rural–urban mobility survey conducted in 2010, this study investigates the influence of family demographic characteristics on the income, life satisfaction, and potential for rural–urban mobility at the rural household level of two provinces of China: Shaanxi and Henan
Urbanization theories hold that population concentration can effectively reduce market transaction costs (Finney and Kohlhase 2008) and that urbanization is a result of rural populations pursuing their own interests

Summary

Introduction

Economic, and environmental problems are believed to be primarily related to rapid increases in population (Biddlecom et al 2005; Potts 2007). In 2002, the Population and Family Planning Law touted CFPP as a basic national policy and citizens’ duty (Zhai and Gao 2010). Under this policy, only people belonging to small and endangered ethnic groups in remote regions were allowed to have two or more children, but they were not provided with welfare support for these children (Cao and Wang 2010). China is believed to have completed the transition to low fertility, but many couples still have strong cultural beliefs that children increase the income of parents (Margolis and Myrskyla 2011), they still prefer having more children, especially in rural areas, where the notion of a distinguished family with several generations living together is pursued, and families with only one child are rare. The situation contradicts the government’s notion of resolving China’s issues concerning agriculture, the countryside, and farmers through rural population control

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