Study on the Effects of Agricultural Land Transfer on Agricultural Economic Growth

Abstract

This study aims to examine the impact of agricultural land transfer on agricultural economic growth by using annual time series data of Guangxi province of China over the period of 2003 to 2015. we employed ARDL-bound test to test the long-run and short-run relationship between dependent and independent variables. The empirical results show that there is no significant short-term impact on agricultural economic development, and the coefficient is 0.0399. In the long run, agricultural land transfer has a significant impact on agricultural economic growth, with a coefficient of 0.1857. Agricultural land transfer restraining the drag effect of rural surplus labour force on agricultural economic growth and did not increase the output effect of agricultural machinery. Our findings conclude that the adjustment caused by the transfer of agricultural land is beneficial to the development of agricultural economy for a long time, and plays an important role in the allocation of agricultural labour force but not in agricultural capital investment.