Funded by Northeast Forestry University · £44,000 · 1 August 2025 – 31 December 2026 · Principal Investigator: Helen X. H. Bao

About the project

Rural land institutional change is a core issue in China’s urban–rural transformation and regional coordinated development. While existing studies have examined institutional evolution from either an institutional-economics or a behavioural perspective, few have integrated individual cognitive biases with institutional-environment interactions in a unified framework, or dynamically modelled the tripartite game among central government, local governments, and rural households.

This project combines prospect theory from behavioural economics with institutional-change theory from new institutional economics, incorporating both imposed and induced change into a single analytical model to trace the historical evolution of China’s rural land system. Using large-scale land-survey data and big-data analytics, it builds a dynamic evolution model to examine path dependence, key driving forces, and policy-transmission mechanisms. Drawing on continuous national surveys and a rich set of land-reform case studies, it applies multi-level modelling to reveal the interactive strategies of the three stakeholders — central strategic decision-making, local implementation patterns, and household behavioural responses — while clarifying the coupling between formal rules, informal constraints, and their enforcement. Given the strategic importance of Northeast China, the project focuses on Heilongjiang Province as a representative case, combining dynamic institutional-evolution analysis, text mining and spatial-econometric methods to identify the stage-specific characteristics and core determinants of rural land institutional change, and to propose targeted pathways for institutional innovation. Ultimately it aims to develop a transferable framework for diagnosing reform paths, providing a scientific basis for governance models adaptable to regional socio-economic diversity.

Team Members

  • Helen X. H. Bao — Principal Investigator, Department of Land Economy, University of Cambridge
  • Jie Liu — Co-Investigator (China), Northeast Forestry University
  • Natalie Xiaoqi Liu — PhD student, Department of Land Economy, University of Cambridge

Publications

This project has produced the following publications:

Working papers

The team has been working on the following papers: