（Iowa,1949）”nosignificantdifferencesbetweenshareandcashleases”（www.youxs.org）,however,refusedtoaccepttheconflictbetweentheirtheoryandfindings,andresortedtootherfactorswhich”mightaccountforthislackofdifference”（www.youxs.org）.Withthetaxapproach,theyhadconcludedthat,intheory,www.youxs.org,”RelationshipofCropShareandCashLeasingSystemstoFarmingEfficiency,”ResearchBulletin386（IowaStateCollegeAgriculturalExperimentStation,May,1952）,www.youxs.org.

[16].Buck,ChineseFarmEconomy,www.youxs.org.

[17].SeealsoLegislativeYuan,StatisticalMonthly（1930）,2,5.

[18].,seechapters7and8.

[19].orgputedfromdatainSino-AmericanJointCommissiononRuralRe-construction”JCRRAnnualReportsonLandReformintheRepublicofChina,”mimeographed（1965）,www.youxs.org.

[20].Onlyasmallamountofnumericaldatahasbeenprovided,andexamplesoflandownersholdingoveronethousandleasesar,”VietnameseLandTransferProgram,”LandEconomics（May,1957）,”beforethelandtransferprograminVietnam,2,170persons……havedeclaredtotalholdingsamountingto976,602hectares.”Giventhat”theaveragetenantholdingisapproximately2hectaresorperhapsslightlymore,”theaveragenumberofleasesforeachoftheselandownerswasovertwohundred.

www.youxs.org

Theanalysisthusfarhasbeenprimarilybasedontheconditionthattransactioncosts,andinparticularthecostsofcontractualnegotiationandenforcement,,subjecttotheconstraintofprivatepropertyrights,,nstraintofpetitionposesthequestion:Whyaredifferentcontractualarrangementschosenunderthesamesystemofprivatepropertyrights?Thepurposeofthischapteristoadvance,inaratherinformalmanner,achoice-theoreticapproachbasedonnonzerotransactioncostandr

Ifafirmcanincreaseefficiencyinproductionbyemployingproductiveresourcesofmorethanoneresourceowner,tsinoneformoranother,suchasleasing,hiring,ormortgaging.[1]Thesetransfers,andtheassociatedcoordinationofinputsofvariousfactorsinproduction,arecostlyevents.[2]Therearecostsofnegotiatingandofenforcingthestipulationsofthecontract.

Giventhestateofpersonalwealthdistributionandtheportfoliosofassetsheldasprivatepropertybyresourceowners,someownerswillseekcontractualarrangementswithothersinbiningresourcesforproduction.[3],definedhereasthecontributionbynatureorthestateoftheworldtothevariance（orstandarddeviation）oftheproductvalue.[4]Givenanonzerovariancefortheexpectedoutputyield（thetotalineforthecontractingparties）,differentcontractualarrangementsallo,anindividualwillseekt（whichmaynotbeattainableevenatinfinitelyhighcost）,bychoosinglessriskyoptionswheninvesting（whichoptionsincludeportfoliodiversification）,orbychoosingamongarrangementswithwhichhisburdenofriskcanbedispersedtootputdiffer,becauseinstitutionalarrangementsdiffer,andbecausedifferentsetsofstipulationsrequirevaryingeffortsinenforcementandnegotiation.[5]

Letmeadvancethefollowinghypothesis:thechoiceofcontractualarrangementismadesoastomaximizeth