An Institutional Economic Analysis Of The Evolution Of China's Land Property Right System

Agriculture is a basic fundament for Chinese national economic; it is also the same meaning for the development country in the world.The critical factor that inference the agriculture development lay under the merit of land property right. But china agriculture development has stagnated for a long term since 1985, this state cause much more attention about the institution reformation of china land property right both in and outside of the country.Since the evolution of institution has been a successive process, the character of institution running currently is formulated by the past event which restrain the selection set of today's institution, the result of remuneration increment of the institution matrix reflects the even basic function of the path dependency. If the research of how to make a creation of the institution of land property right, which operates currently, is conducted, the researcher must study the process of path dependency of the evolution in china history.Tracing back the institution of china land property right, the inner relationship exists between the state of the original resources endowment of country and the initial selection of institution, which formulated in the beginning. While as long as the initial institution is formulated, the character of remuneration increment which produced by the influence, reliance and fortify of each element of the system in the evolution of institution will act on the late evolution of institution, and make it operate along the established trace. Even some fortuitous events pounded the trace of evolution, owning to the inner logical connection of each link of institution and the character of remuneration increment in the system of institution evolution, even some link of evolution is suspended, the other link will renovate it with relationship of the trace reliance. And make the system of institution run along the model and direction, which confined by initial resources of endowment. The important role of the initial selection is explained.The ratio between land and population become even tense, because of the special initial resources endowment for agriculture in china which lead to the increment of population speedily. The active conflicts between the land using and land culture decide that the intensive cultivation based on the conduction of culturing land finely should be a better technical selection for china farmer to tackle the problem. The long-term right of usage and incoming of land owned by farmer must be guaranteed, if government wants to popularize the technique of intensive cultivation. The result of evolution produced by the action between the institution of land property right and the institution of techniquepromote the economic increment, But also cause population rising up. The action of the technique of intensive cultivation and the protection of the right of usage and income of land owned by farmer attainments the system of economic and institution of china to be a small- scale of peasant economy. Under this type of the system, the rational selection of reproduction for farmer is to bear much more children. The more children to be labored, the much intense of the ratio between land and population will happen. So the reciprocal driving cycle among the proportion of population to farmland area, farming technique, and land property right led to the path dependency.It is the evolution of historical land property right system, that bring the tense relationship of China proportion of population to farmland area in present, and lead to the replacement of people's Communal system by household responsibility contract system. The much more tense relationship of proportion of population to farmland area, the much more active conflict of land use and culture, need much more finer culture technique. But the people's Communal system cannot protect the finer culture technique, while the population is rising up speedily by the role of traditional reproduction culture's path dependency in the same term of history, and make the people's...