What did Balzac have to do with The Little Chinese Seamstress? It happened in an unusual time during the Chinese Culture Revolution. Balzac changed the mindset of a little seamstress in a remote mountainous village - she walked out of the mountains to explore new possibilities of life. Still more happened to the villagers: they got to know a violin and appreciate Mozart's sonata (though they would call it Mozart thinking of Chairman Mao); they came to know Ursule Mirouet and fell in love with Balzac (though they thought his stories were about the Albanians); fascinated by the name of Champs-Elysees, the old tailor adorned women's clothes with little French details imitating those in The Count of Monte Cristo, and made it a fashion among village girls. All these happened because of two young men who were sent to the village for re-education. It's a story of youthful creativity, joy and sorrow, and a story of inspiration. It also tells the universal nature of humanity - human beings are curious, and keen on learning.

Four decades have passed since then. Famers in China are much better off today (thanks to the economic and political reforms that began in the late 1970s). However, after its initial growth, rural income entered a staging period, and the gap between rural and urban populations in living standards is wide, and continues to widen. As more farmers are seeking for migratory work in cities, farmlands are cultivated carelessly with some left fallow, and cities have an increasing burden from their growing populations and face other development problems, the Three Issues of rural development (Agriculture, Rural Area and Farmers) have become a huge challenge for the Chinese government.

In addition to reforming land tenure to encourage more efficient large-scale farming and implementing appropriate policies to absorb some migratory workers into the urban system, home-based development is essential for stable and continuous rural economic development and the overall economic growth in China. Home-based development should focus on identifying and developing featured local industries that suit and take advantage of the natural environment and integrating agriculture into the overall development plan. A bottom-up approach (with top-down support) is promising: one farmer can lead other farmers, one village can lead other villages, and one town can lead other towns. Gradually new urban centers will grow out of the rural areas. With a large rural population and limited farmland resources, rural development in China is very much relying on this local urbanization process.

But this requires extraordinary leadership. Behind every successful story at the village level, there is a visionary and capable leader who takes the interests of the village to his heart, and can pull all the villagers together. However, such leadership is lacking across rural China. During my visits to the villages around Poyang Lake, I met numerous farmers who are eager to learn and try new ways of livelihoods. But they can't do much individually in a free-market economy (which requires a certain scale and favors large scales of production), and their knowledge and education is limiting their capabilities. In those villages that are very poor, there is usually a desperate atmosphere as a whole. Indeed, farmer households have done what they can: they have sent every member who can find work to work in the city; whoever at home try to farm the small amount of farmlands to compensate income even though the output from crop cultivation is meager. I don't really know what else they can do. To open up the bottleneck and further increase rural income, government intervention is necessary (especially because the gap between rural and urban development is mostly a result of past national policies that have focused on urban development by scarifying the interests of rural populations). My studies of farmer households have revealed that the social capital of a village affects the well-being of farmer households in many important ways. It is a "lever point" that can be leveraged by external interventions. A strong leadership will foster and enhance this capital, and human resource is the key to future rural development.

Perhaps we could use some imagination here. How about a second culture revolution? Once again, we may send bright young people to the countryside. (Anyway, there is a growing excess of well-educated young people on the urban labor market.) But this time, they are not to be re-educated but to educate and lead farmers. They won't be forced but voluntarily. They need to be qualified, and then further trained. They will be very well paid by the government. And the government should play a key role in coordinating this effort and providing necessary support (including reforms at deeper levels). I feel that such an effort can resolve the three issues of rural development, and eventually transform China into a developed country. And it is doable. Central governance can produce significant positive impacts when implemented right.

 

 

 

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