Off-farm employment and poverty alleviation in rural China |
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Authors: | Shao-ping LI Yong-qing DONG Lin-xiu ZHANG Cheng-fang LIU |
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Affiliation: | 1. China Center for Agricultural Policy, School of Advanced Agricultural Sciences, Peking University, Beijing 100871, P.R. China;2. College of Management and Economics/Center for Social Science Survey and Data, Tianjin University, Tianjin 300072, P.R. China;3. UN Environment Programme-International Ecosystem Management Partnership, Beijing 100101, P.R. China;4. Key Laboratory of Ecosystem Network Observation and Modelling, Institute of Geographic Sciences and Natural Resources Research, Chinese Academy of Sciences, Beijing 100101, P.R. China |
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Abstract: | Two phenomena in the history of China's economic growth during the last four decades are the increase in the share of offfarm employment and the progress in poverty alleviation in rural China. Although both of them have been well documented in the literature, less is known about the linkage between the two. To better understand the role that off-farm employment has played in poverty alleviation in rural China is critically important not only for China but also for those countries that are trying to reduce poverty. Here, we examine the impact of off-farm employment on poverty alleviation in rural China. Using the data from two nationally representative household panel surveys(China National Rural Survey and China Rural Development Survey), this paper provides supporting evidence that off-farm employment contributes to poverty alleviation in rural China. Specifically, if household participation in off-farm employment increases by 10 percentage points, the likelihood for a nonpoor household to fall into poverty will decrease by 0.88 percentage point whereas the likelihood for a poor household to climb out of poverty will increase by 3.5 percentage points. In a word, off-employment can not only prevent rural residents to fall into poverty but also help those already in poverty climb out of it. |
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Keywords: | off-farm employment poverty alleviation rural China |
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