The dual-level operation system, which is based on household operation and combined by centralization and decentralization, is considered as collective economy, mainly because the land belongs to the collective. Household operation is the foundation of the dual-level operation system with the combination of centralization and decentralization, but it is still a contracting relationship between farming households and the collective. As the contract term of land operated by rural households is too short, the value of land has decreased a lot and the farmland contractors are unwilling to make long-term investment to improve soil and construct irrigation facilities. On the contrary, the contractors often adopt such modes of predatory operation as applying too much chemical fertilizer and letting the irrigation facilities fall into disuse. Much worse is that the representatives of collective economy like the village committees and the leaders of village groups often abuse their rights as a representative of land owners. They change the relationship of land contracts at will, take the contracting land back by force, and hurt the interest of the farmers in the name of carrying out scale operation and developing collective economy. Rural collective economy once pushed up China’s early industrialization and urbanization, but is now impeding the further economic and social transformation because it has led to low efficiency of agriculture, higher and higher cost of land acquisition, and has gone against the accumulation of human capital. The direction of reforming rural collective economy is to confirm the contracting land on the basis of a farming household rather than a single farmer, so as to let the farming households have permanent contracting and operation rights of land and to permit these rights to circulate freely without any restrictions.
Tan Qiucheng.
Characteristics, Existing Problems and Reform of Rural Collective Economy[J]. Journal of Peking University (Philosophy and Social Sciences), 2018, 55(3): 94-103