JOURNAL OF NATURAL RESOURCES ›› 2015, Vol. 30 ›› Issue (7): 1078-1091.doi: 10.11849/zrzyxb.2015.07.002

• Resource Economics • Previous Articles     Next Articles

Analysis of the Economic Rationality of Local Government's Downtick of the Industrial Land: Evidence from the Municipalities in Guangdong Province

PENG Shan-gui1, WANG Ying-hong1, CHEN Chen2, WEI Hai-xia1, WANG Jian1, WU Xiao-lei1   

  1. 1. a. School of Environment and Spatial Informatics, b. Jiangsu Key Laboratory of Resources and Environmental Information Engineering, China University of Mining and Technology, Xuzhou 221116, China;
    2. Ji??nan Railway Bureau, Land Administration Bureau, Jinan 250001, China
  • Received:2014-05-06 Revised:2014-08-26 Online:2015-07-20 Published:2015-07-14

Abstract:

Take the panel data of Guangdong province from 2007 to 2012 as an example, the article used the method of panel data causality test and regression analysis to analyze the internal logic between downtick of industrial land and finance incentive. Furthermore, the article made a judgment on the economic rationality of local governments' downtick of industrial land from two dimensions of finance and value. The result shows that: 1) The behavior of downtick in industrial land has the function of attracting investment, which can be fulfilled by the exchange of land elements and capital factors. 2) Net capital inflow has positive effect on the tax of local government and transaction price of commercial and residential land, and the investment will lead to the growth of government revenues both inside and outside of the budget. 3) Local governments' downtick of industrial land generally has the financial rationality but irrational competition. 4) Local governments' downtick of industrial land is not generally rational on the value. The value loss can be considered as the cost of the exchange of land elements and capital factors. Based on the conclusions, to avoid the downtick of industrial land, the paper suggests two adjustments in policies: one is to adjust the structure of financial-administrative power between the central and local government, the other is to change the performance evaluation method which focuses on the growth of fiscal revenues.

Key words: economic rationality, industrial land, Guangdong Province, econometric analysis, downtick, land economics

CLC Number: 

  • F301.2