Understanding the mediating role of labor out-migration in household income generation and distribution under a reforestation policy in rural China

Reforestation Policy & Rural Livelihoods

Income inequality is a critical issue of socio-economic development, particularly in rural areas where forest-dependent people are often vulnerable to the intervention of forest policies.

This study investigates income distribution and inequality of rural households influenced by China’s largest reforestation policy, the Congversion of Cropland to Forest Program (CCFP). We also performed a mediation analysis to test the role of labor out-migration in shaping household income distribution under the reforestation policy.

Major findings:

• Remittances sent by rural out-migrants substantially contribute to household income but tend to worsen inequality, particularly for households having retired cropland for reforestation.
• Rural out-migration of female labor significantly mediates the economic benefits of the policy delivered to the households, with an estimated mediating share of 11.7%.
  

Author: Qi Zhang
Updated: July 2023