Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China
Over the past four decades, China’s economy has experienced tremendous economic growth but also a widening urban-rural income gap. Given the dilemma of the urban-rural income gap in China explained by neoclassical equilibrium theory, this paper attempts to provide a new theoretical explanation for t...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Public Library of Science (PLoS)
2022-01-01
|
| Series: | PLoS ONE |
| Online Access: | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9165774/?tool=EBI |
| _version_ | 1818532353154220032 |
|---|---|
| author | Ting Li Jing-Ya Li |
| author_facet | Ting Li Jing-Ya Li |
| author_sort | Ting Li |
| collection | DOAJ |
| description | Over the past four decades, China’s economy has experienced tremendous economic growth but also a widening urban-rural income gap. Given the dilemma of the urban-rural income gap in China explained by neoclassical equilibrium theory, this paper attempts to provide a new theoretical explanation for the large-income gap between urban and rural areas in China. We select data from 30 provinces(cities) in China over the period from 2006 to 2017 as a sample to investigate whether and how the degree of farmland financial innovation narrows the urban-rural income gap. The results show that the coefficient for farmland financial innovation is significantly negative at the 1% level, signifying that financial innovation can narrow the urban-rural income gap in China. The mediation effect test provides evidence that farmland financial innovation narrows the urban-rural income gap by promoting the permanent migration of the labor force and upgrading the industrial structure. Our results indicate that the government should promote various forms of farmland financial innovation, establish rural property rights transaction system and free farmers from deep farmer-land attachment to realize permanent labor migration. |
| first_indexed | 2024-12-11T17:44:23Z |
| format | Article |
| id | doaj.art-17bf177eb5c84dff9d9904fd3162c1ec |
| institution | Directory Open Access Journal |
| issn | 1932-6203 |
| language | English |
| last_indexed | 2024-12-11T17:44:23Z |
| publishDate | 2022-01-01 |
| publisher | Public Library of Science (PLoS) |
| record_format | Article |
| series | PLoS ONE |
| spelling | doaj.art-17bf177eb5c84dff9d9904fd3162c1ec2022-12-22T00:56:25ZengPublic Library of Science (PLoS)PLoS ONE1932-62032022-01-01176Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of ChinaTing LiJing-Ya LiOver the past four decades, China’s economy has experienced tremendous economic growth but also a widening urban-rural income gap. Given the dilemma of the urban-rural income gap in China explained by neoclassical equilibrium theory, this paper attempts to provide a new theoretical explanation for the large-income gap between urban and rural areas in China. We select data from 30 provinces(cities) in China over the period from 2006 to 2017 as a sample to investigate whether and how the degree of farmland financial innovation narrows the urban-rural income gap. The results show that the coefficient for farmland financial innovation is significantly negative at the 1% level, signifying that financial innovation can narrow the urban-rural income gap in China. The mediation effect test provides evidence that farmland financial innovation narrows the urban-rural income gap by promoting the permanent migration of the labor force and upgrading the industrial structure. Our results indicate that the government should promote various forms of farmland financial innovation, establish rural property rights transaction system and free farmers from deep farmer-land attachment to realize permanent labor migration.https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9165774/?tool=EBI |
| spellingShingle | Ting Li Jing-Ya Li Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China PLoS ONE |
| title | Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China |
| title_full | Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China |
| title_fullStr | Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China |
| title_full_unstemmed | Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China |
| title_short | Is farmland financial innovation narrowing the urban-rural income gap? A cross-regional study of China |
| title_sort | is farmland financial innovation narrowing the urban rural income gap a cross regional study of china |
| url | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9165774/?tool=EBI |
| work_keys_str_mv | AT tingli isfarmlandfinancialinnovationnarrowingtheurbanruralincomegapacrossregionalstudyofchina AT jingyali isfarmlandfinancialinnovationnarrowingtheurbanruralincomegapacrossregionalstudyofchina |