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Ration Subsidies and Incentives in the Pre-Reform Chinese Commune
New Series, Vol. 55, No. 218 (May, 1988), pp. 235-247
Published by: Wiley on behalf of The London School of Economics and Political Science and The Suntory and Toyota International Centres for Economics and Related Disciplines
Stable URL: http://www.jstor.org/stable/2554470
Page Count: 13
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A major aspect of the `egalitarianism' said to have undermined work incentives in Chinese agricultural production teams during the 1960s and 1970s was the distribution of grain rations independently of work contribution. Although a degree of such `needs' or `work-disregarding' distribution may in principle have been consistent with efficient work incentives, each of two contrasting versions of the ration system seem likely to have weakened incentives in `poorer' teams.
Economica © 1988 London School of Economics