Tourism Development and Rural Land Transfer-Out: Evidence from China Family Panel Studies

Abstract

For a long time, the decline in agricultural comparative returns and the urban–rural development gap in China have prompted the outflow of rural labor. Land transfer policies, which allow farmers to retain their land contracting rights while transferring their management rights, were instituted to mitigate the impact of labor outflow on land use and agricultural production. In recent years, tourism has contributed to the diversification of the rural economy and has had an essential impact on the urban–rural allocation of elements such as labor. In this paper, we adopt a probit model to investigate the impact of tourism development on rural land transfer-out by using data from the China Family Panel Studies. The results show that the marginal effect of tourism development is significantly negative, indicating that the probability of rural land transfer-out was significantly reduced with tourism development. The results are still valid after a series of robustness tests. A mechanism analysis indicates that tourism development inhibits land transfer by enhancing local vitality, such as increasing the local employment of rural labor and promoting participation in agricultural production. Moreover, from the perspective of rural welfare and asset prices, further research finds that tourism development contributes to poverty alleviation and increases land value. These results suggest that tourism development inhibits land transfer while promoting rural sustainable development, helping to understand the impact of tourism on rural land use and household asset allocation from a more comprehensive perspective.