Agricultural growth dynamics and decision mechanism in Chinese provinces: 1988‐2008

Kang Yu (College of Economics and Management, Zheijiang Agricultural and Forestry University, Hangzhou, People's Republic of China)
Xiangfei Xin (Institute of Agricultural Economics and Development, Chinese Academy of Agricultural Sciences, Beijing, People's Republic of China)
J. Alexander Nuetah (College of Economics and Management, China Agricultural University and Center for Rural Development Policy, Beijing, People's Republic of China)
Ping Guo (College of Economics and Management, Zheijiang Agricultural and Forestry University, Hangzhou, People's Republic of China)

China Agricultural Economic Review

ISSN: 1756-137X

Publication date: 10 May 2011

Abstract

Purpose

The purpose of this paper is to perform an investigative analysis of the distribution of agricultural growth in China and the evolution of the decision mechanism.

Design/methodology/approach

The kernel density estimation method was used to investigate the distribution of agricultural growth in China using 1988‐2008 panel data of the 29 provinces on the mainland. A nonparametric income distribution approach was employed to decompose China's agricultural output growth into farmland accumulation, capital deepening, labor‐scale change, technical change, and efficiency change based on stochastic frontier function. A further investigation of the evolution of the decision mechanism for agricultural growth was then performed using counterfactual analysis.

Findings

The results of this analysis indicate that: from 1996, the distribution of agricultural output per worker evolved from a unimodal into a bimodal distribution; technical change is the primary impetus to distribution shift; and capital deepening and efficiency change play a dominant role in the deformation of the distribution of agricultural output per worker from a unimodal to a bimodal distribution.

Originality/value

The paper is an original work and its methodology makes a meaningful contribution to understanding China's agricultural growth. That is, the use of income distribution analysis method to analyze agricultural growth does not only allow a more in‐depth understanding of the gap between regional agricultural growth rates, but also makes up for the existing lack of convergence in agricultural growth in China.

Keywords

Citation

Yu, K., Xin, X., Alexander Nuetah, J. and Guo, P. (2011), "Agricultural growth dynamics and decision mechanism in Chinese provinces: 1988‐2008", China Agricultural Economic Review, Vol. 3 No. 2, pp. 150-170. https://doi.org/10.1108/17561371111131290

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Publisher

:

Emerald Group Publishing Limited

Copyright © 2011, Emerald Group Publishing Limited

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