Land Reform and Farm Land Rental Market Operation in the Northern Uplands of Vietnam

Abstract

This paper examines the factors affecting the participation of farm households in farm land rental markets with particular focus on the impact of the land reform. The operational outcomes of such market participation are also analysed. The study used a panel dataset of farm households surveyed before and after the land reform with Random Effect Tobit model. The analysis showed that the land reform have contributed to increased land rental participation. The operation of the market has both efficiency and equity outcomes. Therefore, constraints to functioning of land rental market are difficult to justify. In other words, farm land rental should be promoted to bring such desirable outcomes.