Direct And Indirect Impacts Of Land Rental Market On Farmers’ Decision For Pension

Farmers’pension concerns to both themselves and rural economic development. Pension patterns are changing with China’s social and economic sustainable development. Social security is taking the place of traditional way, i.e. land retirement pension and family pension, bringing in a period now with multifarious patterns. Booming economic in rural area since China’s reform and opening up is the key cause of this change. Development of rural land rental market is a new circumstance to rural households. Land transfer can change the original land configuration of different household. For those lending out, the land retirement pension is lost, and with labor released the economic conditions changes. All of those will inevitably bring changes in farmers’pension behaviors.This article studies how the pension behavior of households is changing, and what are the factors resulting in these changes. Then describes the development of rural land rental market, and analyses the direct and indirect impacts on rural households. Finally find the linkage between social security behavior and rural land rental market by intersecting factors. This article assumes that the land transfer will weaken the traditional land pension, rural household may take the social pension as an alternative; what’more, the land transfer would increase the non-farm employment income, and the enhancive pecuniary condition may boost social pension insurance behavior.On the foundation of theoretical analysis above, further empirical analysis is made to clarify the linkage. The research shows that, household economic status, non-agricultural employment, family size, age structure, and education level make significant impact on household social pension insurance behavior. Although land transfer do changed the land ownership and economic conditions, it shows no significant impact in this research. But land transfer releases labor force chained to farmland, which can increase income if obtains employment in market. At least, proposals are made to improve the social security of farmers, including promote non-agriculture employment to enhance economic capacity; improve institution design for different farmer group; strengthen policy propaganda and expand the coverage of social security.