Article thumbnail

THE RISE OF RURAL-TO-RURAL LABOR MARKETS IN CHINA

By Bryan Lohmar, Scott Rozelle and Changbao Zhao

Abstract

The continued transfer of agricultural labor into the industrial sector is crucial to China's transformation into an industrial economy. We argue in this paper that rural industry offers an alternative to urban industry for receiving agricultural labor from areas without off-farm employment opportunities. Characteristics of rural industry differ from their urban counterparts. These characteristics may serve to shape the growth in employment for incoming workers in rural areas, provide opportunities for certain types of workers, and affect the impacts these workers have on the local economy. In this paper we examine the features of China's rural-to-rural labor movement and the villages where these workers are employed. Using a nationally representative sample of 215 villages, we show that the growth in rural-to-rural labor movement between 1988 and 1995 has been much faster than in rural-to-urban movement or in local off-farm employment. The rapid growth in rural-to-rural commuting and migration has not negatively affected off-farm income earning opportunities for workers living in the receiving villages. Rural-to-rural labor movement also has many positive effects. Labor movement into rural villages provides opportunities for workers generally underrepresented in other parts of the off-farm labor market, appears to dampen upward pressure on wages that allows rural industry to maintain labor intensive practices, and promotes national economic integration.Labor and Human Capital,

OAI identifier:
Downloaded from http://purl.umn.edu/11955

To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.

Suggested articles

Citations

  1. (1995). 1994: Nongcun Laodongli Kua Quyu Liudong di Shezheng Miaoshu” [1994: A Real Description of Rural Labor’s Cross-Regional Flow], Zhanlue Yu Guanli [Strategy and Management]
  2. (1999). Accelerating China’s Rural Transformation”,
  3. (1995). Another Look at the East Asian Miracle,” World Bank Economic Review.
  4. (1996). China’s Ongoing Agricultural Reform. (San Francisco: The
  5. (1998). Collective Ownership and Privatization of China’s Village Enterprises,” Working Paper,
  6. (1999). Contesting Citizenship: Peasant Migrants, the State, and the Logic of Market in Urban China. (Berkeley and Los Angeles:
  7. (1997). Invisible Walls Within Cities: Migration and the Emergence of a Dual Society in Urban China,” Paper Prepared for the Conference on Social Consequences of Chinese Economic Reform,
  8. (1998). Public Versus Private Ownership of Firms: Evidence from Rural China.”
  9. (1993). Regional Protectionism: Editors Introduction,” Chinese Economic Studies.
  10. (1996). Regional Wage Gap, Information Flow and
  11. (1998). Rural China Takes Off.
  12. (1996). Rural Industrialization and Increasing Inequality: Emerging Patterns in China’s Reforming Economy”,
  13. (1992). Rural Labor Force Trends in China,” China Agriculture and Trade Report. (Economic Research Service.
  14. (1997). Sharing Rising Incomes.
  15. (1990). The Rural Labor Market,”
  16. (1996). Zhonguo Tainji Nianjian. [Statistical Yearbook of China].