Household Production and Household Structure in the Context of China's Economic Reforms

Abstract

This article investigates the relationship between household production activities and household size and extension in rural and urban areas in eight Chinese provinces. Using panel data from the China Health and Nutrition Survey during 1989-91 changes in household size and extension are tested whether they are related to changes in household production. Results of the analyses indicate a relationship between household structure and household production activities. Households with more working aged members in 1989 are more likely to be engaged in household production activities in 1991. However there is no evidence that the inverse is true. Household production activities do not appear to impact the number of working aged household members. Alternatively the lack of an effect could be explained by countervailing forces. For some households household production may serve to increase household size and complexity because it results in the recruitment of members while for others it may result in household division due to increased assets. In conclusion there is some indication that these results hold whether production activities are agricultural or nonagricultural.