Abstract: | China, in its efforts to effect economic modernization, has come to recognize the need for labor mobility to promote the development of small towns, to develop frontier agriculture, and to provide a tertiary sector in the cities and towns. Of China's 1 billion people (3rd census, 1982), 206 million or 20% of the population lived in 236 cities and 2664 towns. 50% of the urban dwellers were concentrated in the 3 metropolises of Shanghai, Beijing, and Tianjin. On the other hand 30% lived in the 2664 towns, which China wishes to develop. In the past large numbers of people have migrated to the large cities because there they were assured the life-long security of employment in state-owned industries -- the "iron rice bowl." However, China's present policy is to limit the size of big cities, develop medium-sized cities (between 200,000 and 500,000 people), and encourage the growth of small cities. China's 7th Five-Year Plan (1986-1990) calls for a massive movement of the agricultural labor force, not to the cities, but to the towns. To control population movement China instituted the Household Registration System in accordance with which a household must obtain permission to move permanently beyond the local area. Migration from the populous East Coast areas to the underdeveloped Northwest and to the rural impoverished areas of Gansu, Ningxia, and Qinghai is encouraged. But controlled migration has become more difficult since the decentralization which has accompanied the new economic policies, and the urban population has grown except for the 3 major cities. Moreover, as a result of the new "economic responsibility system" introduced in 1979, many surplus agricultural workers have been absorbed into nonagricultural activities in villages and townships. By the end of 1985, 67 million workers had moved from agriculture to industries, and peasants may now be granted temporary residence permits in towns. The total number of towns increased to 7280 by 1985; however, the new towns are concentrated in the more productive agricultural areas, which can support them. In addition to these more or less permanent migrants, large numbers of temporary migrants have come to the cities as representatives of local businesses, as construction workers, to operate urban outlets for agricultural and industrial products, to provide various services including domestic service, and as itinerant workers. 1986 statistics indicated that 3.21 million people were living as temporary residents of China's top 10 cities. The new economic policy has encouraged the resurgence of private plots and free markets and hence has stimulated the increased movement of peasants to rural markets and to free markets in cities. |