A market for land transfer has not yet been developed. The three-tier system of ownership is no longer rational, as townships now represent the government rather than the farmers. So the government should put an end to townships, and land should be owned by administrative villages and villagers' groups. In order to boost farmers' confidence, future agricultural reform measures should be phrased in clear language, and based on improved and stable rules. Farmers should be granted negotiating rights so they may protect their own interests without having to depend on the rule of law.
Opinions differ on how equity is achieved.
Some proponents of the latter view suggest that 5 percent of local land should be held in reserve, for maneuvering purposes. Other scholars disagree, warning that equity should not be maintained in small individual communities at the cost of the whole country's efficiency. Wang Jingxin is Head of the Research Department at the China Institute for Reform and Development, Haikou, Hainan Province, China.