How does nonfarm employment stability influence farmers' farmland transfer decisions? Implications for China’s land use policy

Abstract

This paper examines the impact of nonfarm employment stability on migrant workers’ farmland transfer decisions. Using data on 1148 migrant workers extracted from the Chinese General Social Survey (CGSS), our structural equation model determined a significant positive impact of employment stability on migrant workers’ farmland transfer behaviour. Results show that the employment stability of migrant workers has a significant positive impact on their farmland transfer behaviour. In particular, their willingness to settle in the city is an important, although incomplete intermediary factor, accounting for 42.15% of the overall employment stability effect. These findings imply that creating a fair and inclusive employment system in urban China and expanding the urban welfare system to include migrant workers are likely measures to develop land rental markets in rural China.