China’s spectacular growth and poverty reduction has been accompanied by growing inequality which threatens the social compact and thus the political basis for economic growth and social development. The regional dimension of inequality— rural/urban, inland/coastal and provincial—dominates...

Replaced with revised version of paper 07/14/11.

We used a primary panel survey at the household level conducted in 18 remote natural villages over three waves in China to study how road access shapes farmers’ agricultural production patterns and input uses. Our results show that access to roads is strongly associated with specialization in...

Traditional economic theory posits that a well functioning capital market is a necessary condition for industrialization and economic growth. However, in reality it is observed that micro and small enterprises are ubiquitous because entrepreneurs can set up business in low-return activities with...

Traditional economic theory posits that a well functioning capital market is a necessary condition for industrialization and economic growth. However, in reality it is observed that micro and small enterprises are ubiquitous because entrepreneurs can set up business in low-return activities with...