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Irrigation investment in China: trends, correlates and impacts

Fei He (Center for Experimental Economics for Education, Shaanxi Normal University, Xi’an, China AND; Northwest University, Xi’an, China)
Yaojiang Shi (Center for Experimental Economics for Education, Shaanxi Normal University, Xi’an, China)
Renfu Luo (Center for Chinese Agricultural Policy, Chinese Academy of Sciences, Beijing, China)
Linxiu Zhang (Center for Chinese Agricultural Policy, Chinese Academy of Sciences, Beijing, China)
Natalie Johnson (Freeman Spogli Institute, Stanford University, Stanford, CA, US)
Scott Rozelle (Freeman Spogli Institute, Stanford University, Stanford, CA, US)

China Agricultural Economic Review

ISSN: 1756-137X

Article publication date: 7 September 2015

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Abstract

Purpose

The purpose of this paper is to describe trends in irrigation investment in China’s rural villages in the 2000s, identify the types of villages in which investment occurred and examine whether this investment had an impact on agricultural land.

Design/methodology/approach

This study makes use of longitudinal survey data from a nearly nationally representative sample of 101 villages spread across five provinces. The outcome variables are cultivated area, sown area and effectively irrigated area, and ordinary least squares regression and fixed effects models are used for the analysis.

Findings

In spite of sustained investments into irrigation from 1998 to 2011, there has been almost no impact on agricultural land. Cultivated area and sown area have fallen across all five sample provinces while effectively irrigated area remains largely unchanged. The authors also show that there is no relationship between investment into irrigation and agricultural land. Irrigation facilities also have the lowest rate of rural resident satisfaction of any of the major public services provided.

Research limitations/implications

More research is needed to understand the impact of irrigation investment on crop yields and water savings.

Practical implications

Policymakers may need to rethink the current pattern of investment into irrigation.

Originality/value

This is the first study to quantitatively model the impact of investment into irrigation at the village level all over China.

Keywords

Acknowledgements

The authors acknowledge the financial assistance of the National Natural Science Foundation of China (Grant numbers 71110107028 and 71033003), Shaanxi Science and Technology Research and Development Project (Grant number 2012KR2-05) and the Ford Foundation.

Citation

He, F., Shi, Y., Luo, R., Zhang, L., Johnson, N. and Rozelle, S. (2015), "Irrigation investment in China: trends, correlates and impacts", China Agricultural Economic Review, Vol. 7 No. 3, pp. 344-359. https://doi.org/10.1108/CAER-09-2014-0084

Publisher

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Emerald Group Publishing Limited

Copyright © 2015, Emerald Group Publishing Limited

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