Entrepreneurial effect of rural return migrants: Evidence from China

Abstract

Entrepreneurship is an important means of economic development. Rural migrant workers returning home to start their own businesses can promote employment, alleviate poverty, and achieve rural development structural transformation of rural development. The entrepreneurial effect of rural return migrants is important for rural economic development. Using the data of the China Labor Force Dynamics Survey (CLDS thereafter) 2018 and China Household Finance Survey (CHFS thereafter) 2019, we analyze the entrepreneurial effects of return migrants upon their return to their hometowns. We construct a career choice model and build a mathematical model based on it to formulate the hypothesis. Then, we use the Probit regression model to test the hypothesis empirically. Results find that the rural return migrants can promote entrepreneurship among residents. Land circulation, human capital, and physical capital are stimulating factors in promoting the rural entrepreneurial activities of return migrants. We recommend that the government actively guide the rural return migrants to start businesses and provide security for entrepreneurial activities by upgrading various entrepreneurial elements.

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“…Enright et al 2005;Lu and Wei 2007;Chow 2015), on China's rapid urbanisation (overviews recently: Küchler and Stein 2023; Herrle et al 2023), on migration-related employment opportunities and challenges (Hao et al 2016), unequal migration and urbanisation gains (Combes et al 2020;Zhu et al 2021), migration-related transient urban spaces (Bork-Hüffer et al 2016), regional disbalances (Zhou et al 2018;Li et al 2022) and also on the entailed processes of increased interand intraregional competition for investment, human capital and global acknowledgement (e.g. Jessop and Sum 2000;Wu et al 2005;Wu and Zhang 2007;Zheng et al 2017), including entrepreneurial resilience and effects of migrants in rural areas (Bao et al 2022;Wu et al 2023;Zhu et al 2023).…”

How Do Support Pressure and Urban Housing Purchase Affect the Homecoming Decisions of Rural Migrant Workers? Evidence from Rural China

“…Compared with ordinary farmers, rural migrant workers are more familiar with urban and rural environments. They have the dual identities of farmers and urban industrial workers and meet the dual needs of rural talent revitalization for the labor force to have the feelings of the agriculture, the rural areas, and rural people (known in Chinese under the name of "San Nong"), and bring in the professional skills [2,3]. As the most important source of talent and construction subjects to promote the comprehensive revitalization of rural areas, their ultimate location and role deserve attention.…”

The Role of High-Skilled Return Migrants in China’s Urban Development. Policies and Resettlement Factors in the Cities of Guangzhou and Dongguan, Pearl River Delta / China

“…migration-related transient urban spaces (Bork-Hüffer et al 2016), regional disbalances (Zhou et al 2018;Li et al 2022) and also on the entailed processes of increased interand intraregional competition for investment, human capital and global acknowledgement (e.g. Jessop and Sum 2000;Wu et al 2005;Wu and Zhang 2007;Zheng et al 2017), including entrepreneurial resilience and effects of migrants in rural areas (Bao et al 2022;Wu et al 2023;Zhu et al 2023).…”