Land in Transition : Reform and Poverty in Rural Vietnam

Abstract

The policy reforms called for in the transition from a socialist command economy to a developing market economy bring both opportunities and risks to a country's citizens. In poor economies, the initial focus of reform efforts is naturally the rural sector, which is where one finds the bulk of the population and almost all the poor. Economic development will typically entail moving many rural households out of farming into more remunerative (urban and rural) non-farm activities. Reforms that shift the rural economy from the relatively rigid, control-based farming institutions found under socialist agriculture to a more flexible, market-based model in which production incentives are strong can thus play an important role in the process of economic growth. However, such reforms present a major challenge to policy makers, who are concerned that they will generate socially unacceptable inequalities in land and other dimensions relevant to people's living standards. This book studies how the changes in land institutions and land allocation required for Vietnam's agrarian transition affected people's living standards-notably that of the country's rural poor. Living standards means household command over commodities, as measured by consumption