Ziyuan Kexue (Jan 2024)

Theoretical and empirical research on the impact of industrial and commercial capital on the improvement of rural residential environment

  • SHAO Junjie, ZHANG Fan, Hu Lingxiao, ZHAO Hu

DOI
https://doi.org/10.18402/resci.2024.01.15
Journal volume & issue
Vol. 46, no. 1
pp. 205 – 217

Abstract

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[Objective] The improvement of rural residential environment is an effective measure to realize the strategy of rural revitalization. The aim of this study was to examine the relationship between the industrial and commercial capital flowing to rural areas and the behaviors of improving the residential environment of rural households from both the theoretical and empirical perspectives. [Methods] Using data from the 2020 China Rural Revitalization Survey, this study employed the Mvprobit model to empirically analyze the impact of industrial and commercial capital introduction on rural households’ behaviors in improving their residential environments and mechanisms. [Results] (1) Industrial and commercial capital significantly increases the likelihood of rural households participating in the improvement of their residential environments. This conclusion remains robust even after conducting instrumental variable regression and a series of rigorous tests. (2) Industrial and commercial capital leads to the enhancement of village collective economies and rural households’ income levels, thereby satisfying the club goods attributes of the “two-part payment” for improving residential environments. This capital provides both public and private investments for enhancing rural residential conditions. (3) Villages with strong leadership of village cadres and families with high dependency ratios are more likely to witness increased probabilities of households improving toilet facilities due to industrial and commercial capital infusion. However, the infusion does not significantly increase the likelihood of rural households engaging in scientifically treating domestic wastewater. Moreover, only when industrial and commercial capital enters the villages does it positively affect rural households’ behaviors in treating domestic wastewater and improving toilet facilities. [Conclusion] We should encourage and guide industrial and commercial capital to go to the countryside, enhance the coordination platform and policy system, and promote their participation in the improvement of rural residential environment.

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