Title

CIIDWPNo.43-Vendryes, Thomas; Li, Shi-Real Estate Activity, Democracy and Land Rights in Rural China

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2016/5/26 13:42:46

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struggle12

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Introduction

Land-related conflicts have recently become a primary cause of social unrest and a major political issue in China. Indeed, as is generally the case in the course of development, the process of institutional change, which also affects land rights in rural areas, generate tensions and frictions. Using survey data on land practices and governance in Chinese villages and national statistics about investment in the real estate sector, we confirm the results of the handful of empirical studies on this topic in China, by showing that practices such as administrative reallocations of land by village leaders positively depend on the level of real estate activity but that this effect is mitigated by the development of village-level democracy. We thus bring empirical evidence on the factors behind the evolution on land rights in China’s rural areas and the related conflicts, as well as, more generally, on the dynamics of institutional change that accompanies development.

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