Effects of urban growth on the land market and local livelihoods: A case study in a peri-urban village of hue city, central vietnam

Nội dung text: Effects of urban growth on the land market and local livelihoods: A case study in a peri-urban village of hue city, central vietnam

1. EFFECTS OF URBAN GROWTH ON THE LAND MARKET AND LOCAL LIVELIHOODS: A CASE STUDY IN A PERI-URBAN VILLAGE OF HUE CITY, CENTRAL VIETNAM Nguyen Quang Phuc College of Economics, Hue University, Vietnam Reinout Vos Utrecht University, the Netherlands Abstract The purpose of this research has been to uncover the consequences and the extent of benefit to local household derived from changes regarding the rural-to-urban transitions. In order to research these matters, a peri-urban village in the central Vietnam has been investigated. By using data from in-depth interviews with local stakeholders, data coming from semi-structured interviews with local households and by looking at prior research done in the area, a picture can be painted displaying in fact these consequences and benefits. The findings have resulted into the confirmation of theoretical outcomes from other researches, done in different parts of the worlds, as well as a bringing a further nuance, specific to the case of Xuan Hoa village, Vietnam. As in Xuan Hoa much urban development takes place, also a high level of in-migrating urban households is clearly noticeable. This changes the local economic, social and physical structure of the village. Examples are more grocery shops, a change in job opportunities and modernizations such as a sound electrical grid and an improved availability of internet access. Difference in terms of consequences and benefits is mostly seen between the more affluent and the less affluent households. Those households with more money to spend are able to make more use out of modernity such as internet access and the electrical grid. The less affluent households have more benefit out of the changes in local job opportunities. Also, the increased value of land and the greater ease of selling land are thought of to be advantageous. Caution should however be noted, as the level of resilience of these less affluent households might be affected by changes on the local land market. Key words:rural-to-urban transition, land market, livelihoods, peri-urban areas, Hue, Vietnam 1. INTRODUCTION The demand for urban land globally, be it for residential, industrial or commercial purposes is very high and is increasing. Estimated has been that more than two billion people are in rapid need of housing in urban centers within the next 25 years (WB, 2015). The huge demand for urban space is usually met by either redeveloping already urban land, efficiently using open urban spaces and by converting rural land into urban use (Deininger et al., 2008). A good example depicting this need, or demand for that matter, of urban space is the case of India. They are currently in need of about 40 million housing units in urban centers (Cali et al., 2013). General speaking, developing countries such as India, have an even more pressing need for urban space, compared to the more developed countries of the world. As 929
2. these countries, develop economically, the flow of people migrating towards the cities increases alongside. This example is regarding India, but also counts for Vietnam. General trend is that the number of cities in Vietnam are growing and, as the country is making its transition from being a socialist state, relying heavily upon the norms and values of Communism, towards a more capitalist state, orientated around values such as economic growth and accumulation of wealth, the need for urban space grows in a parallel fashion. In 1998, there were 703 cities, but the number of cities increased to 1,269 at the end of 2010. It is also estimated that there will be 1,934 cities by 2020 (World Bank, 2011). At present, at least one million people are added annually to Vietnam’s urban areas; the current annual 3 percent increase in urbanization means that the urban population will constitute around 45 percent of the total in 2020 (Wit, 2011). Vietnam’s future economic growth will depend on its ability to develop competitive, market-driven industrial and service sectors; these are primarily urban-based activities (Coulthart et al., 2006). Accordingly, Vietnamese cities are becoming more important and are, to an increasing extent, becoming the hubs for a more global orientated network, connecting Vietnam and its people to the rest of the world. As cities in Vietnam grow, the infrastructure improves and the surrounding villages get better and more closely connected to their neighboring city. This development leads to villages transitioning into urban space. The dynamics within these villages change and a specific mixture of urban and rural landscape comes into existence. In general, these kind of spaces are referred to as peri-urban areas. It are localities that are on the verge of becoming a fully urban area, yet still rural features remain visible (Phuc at al, 2014). In Vietnam, part of the rural to urban conversion process is the government forcing its residents living in these peri-urban localities, to part with either a portion or the whole of their, mainly agricultural land. Under the guise of being for the ‘benefit of the people of Vietnam’, land is made clear to facilitate the urban expansion. In reality, however, most of the benefit rather goes to the contractors, investors, government officials and other major stakeholders, leaving very little for the people of Vietnam. Up until now, much research has been done on the effects of urbanization on the surrounding villages of the largest cities such as Hanoi and Ho Chi Minh City. Little attention is given to how urbanization in a middle-sized city in Vietnam affects households living in these peri-urban villages. Drawing on the fieldwork conducted from February to May 2015 in a peri-urban village of Hue City – Xuan Hoa, this study attempts to investigate how the urban expansion process and local land market change have affected household livelihoods, and to see in what ways local households have been benefitting from these changes. The village of Xuan Hoa is an interesting and a good representative case because of its close proximity to the city border of Hue. Even though the whole area experiences the effects of urbanization, more and more land is being converted from agricultural use to urban space; Xuan Hoa is the first village to strongly notice an influx of new urban households. The paper proceeds as follows: the next section will review the literature on urbanization and peri-urban transformation. Secondly, we introduce a brief explanation of the methodology that was used in this study in order to gain data, analyze and reflect upon the 930
3. insights given from the fieldwork phase.Thirdly, we analyze the main findings of research, including: describe the general picture of urbanization of Hue city and how this takes place in Xuan Hoa village; implications to the local land market; and effects of urban transition on local livelihoods.Finally, the study draws some conclusions. 2. URBANIZATION AND PERI-URBAN TRANSFORMATION The term urban refers to the character of a place based on several interrelated factors, namely population size, population density, economic and social organization, and administration, among others. The term urbanization refers to the process by which a place assumes that urban character (Frey and Zimmer, 2001). Urbanization occurs as a country’s key sectorial composition shifts away from agriculture to industry and services and as technological advances in domestic agriculture release labor, whereby former agricultural laborers migrate to cities. It is a finite process experienced by all nations in their transition from an ‘agrarian’ or ‘traditional’ to an ‘industrial’ or ‘modern’ society (Henderson, 2002). Looking at aspects of the urbanization process, Schnore (1964) proposed three distinct but related components: i) urbanization as behavioral change whereby people acquire certain patterns of behavior such as urban ways of thinking and urban values as they adopt an urban lifestyle; ii) urbanization as reorganization of economic activities through the structural shift or transition from agriculture to non-agricultural activities as a dominant source of employment. As the country becomes more and more urban, the role of agriculture as a source for livelihoods becomes less and less important. This conception also emphasizes that urbanization is not a mere in-situ shift of labor from agriculture to non-agricultural sectors. It involves the movement of people from traditional, rural communities where agriculture is central in their lives to modern, urban communities where activities primarily are centered in government, trade, manufacture, or allied interests; and iii) urbanization as population concentration through an increase in the share of the population living in urban communities as well as the number of and/or size of urban communities. This aspect is consistent with the United Nations Department of Economic and Social Affairs’ (UNDESA) definition where urbanization is the increase of the population in cities compared to the overall population of a region, country or the world as a whole (UNDESA, 2004). Thus, as the preceding paragraphs show, urbanization holds implications for social and economic development. As a result, there have been various controversies concerning the effects of urbanization on socio-economic development. Theories on modernization, urbanization and the external (agglomeration) economic hypothesis portray urbanization as a necessary part of the development process as it has a positive relation with economic development. According to Ledents (1982), this is proven by the fact that different urbanization levels reflect differing degrees of economic development and positive social change. In contrast, ‘anti-urbanization theories’ such as the dependency theory and Lipton’s urban bias thesis (UBT) view urbanization as a menace. Accordingly, urbanization is blamed to be a major cause of the undesirable phenomenon of regional disparity, both in economic growth and welfare terms, because it compels economic activity to concentrate in certain areas (McKee and Leahy, 1970). In addition, most rural dwellers that migrate to cities engage 931
4. in low-paying jobs in the service and informal sectors and not in industrial employment as modernization theorists seem to suggest (Bradshaw, 1987). Beside the controversies regarding the relationship between urbanization and economic development, much discussion also has focused on the impacts of urbanization on the areas immediately surrounding the cities. A number of alternative terms have been used to describe this geographical area including ‘urban fringe’ (Kumar, 1998), ‘rural hinterland of the city’ (Kundu, 1989), ‘the city’s countryside’ (Bryant et al., 1982), ‘peri-urban areas’ (Simon et al., 2006), ‘peri-urban fringe’ (Swindell, 1988), as well as ’Desakota region’ (McGee, 1991). Despite the differing terms, most refer to a zone undergoing various kinds of transformation where urban and rural attributes exist side by side (Oduro, 2010). This study uses the term ‘peri-urban’ as defined by Simon et al. (2006) because it is consistent with the characteristics of Hue. Here, ‘the peri-urban area is a zone of direct impact – which experiences the immediate impacts of land demands from urban growth, pollution and the like and a wider market-related zone of influence – recognizable in terms of handling of agricultural and natural resource products’ (Simon et al., 2006, p. 10). Because of urbanization, multiple economic and social transformations have taken place in peri-urban areas. The first is economic transformation. Given that urban growth is accompanied by a diversification of economic activities, new non-farm job opportunities come into existence, often leading to higher levels of income for the peri-urban population (Calì and Menon, 2013). Another economic impact is the transformation of the land market due to the higher demand for urban land; as rural land increases in value, the rent or the sale of land generates more income (Rakodi, 1999). In addition, the price of agricultural products rises due to the higher levels of income among the in-migrating urban population (Calì and Menon, 2013). Due to the rapid in-migration of people from the inner city and other localities, the second transformation affects the social structure of peri-urban villages (Rakodi, 1999). People are compelled to adopt urban lifestyles as well as to adjust to the behavioral patterns of overwhelming numbers of in-migrants from diverse social-cultural backgrounds. This often leads to changes in traditional social networks and rural identities. The final transformation is spatial. Peri-urban areas supply land for urban development as growth in both the urban population and increased economic activity create a larger demand for spaces. In other words, the spatial expansion of cities necessitates the conversion of farmland, forests, open spaces and other natural areas for urban uses – residential development, industrial and commercial areas, and urban roads among others. This expansion of urban spaces often leads to an improvement in peri-urban infrastructure such as roads, piped water, electricity, and communication systems (Rakodi, 1999; Cavailhès et al., 2004). 3. METHODOLOGY The research that has been conducted for this paper can mainly be characterized as a qualitative study. Consequently, the main methods that have been used to gain primary data were open and semi-structured interviews. In total, there were 30 interviews held with local officials and households. The research aims to obtain a better understanding of local dynamics, and in this sense seeks to explain underlying processes and can thus be considered exploratory in nature. And, given that no real image exists of how various types of local 932
5. households benefit from rural-to-urban changes, confirms the exploratory approach of the research. The sample method of snowball sampling has been used to select interesting officials and stakeholders. The method used to select households was that of purposive sampling, meaning that specific criteria have been used in order select the most relevant household. These criteria were mainly whether a household was either a seller or a buyer of a Land Use Rights Certificate, also known as a LURC. Besides this aspect, important was that sale had been done within the last 10 years. The timeframe of 10 years was chosen because prior research had shown that most urban construction activities had begun as of 2005. From that point in time, many households had engaged in either the selling or the buying of land use rights. Households that engage on the local land market are generally more prone to have a good outlook on local amenities and are therefore more relevant to talk to in regard of changes within the rural-to-urban landscape. Regarding the analyses of household respondents, the sample has been used two times, one where households were divided on the basis of being either a seller or a buyer of land in the last 10 years (1), and two, a further subcategorization of local households was made based on thevariables ‘the length of residency in the village’ and ‘local status’ (2). By doing so, a differentiation can be made between affluent versus non affluent households and longtime versus new households. This subcategorization has led to four distinct groups of household, namely Traditional Local Household (TLH), Local Elite Household (LEH), New Urban Household (NUH) and New Elite Household (NEH). Table 1. Division of household respondents (n=30) Categorization Amount Unit Total of respondents 30 Households Number of sellers 15 Households Number of buyers 15 Households Local residents 16 Households New residents 14 Households Number of TLH 10 Households Number of LEH 6 Households Number of NUH 11 Households Number of NEH 4 Households Secondary data have been found by doing a literature study (newspapers and articles). The main purpose of this method was to gain more knowledge about the general urban expansion of the city of Hue. The most important secondary data was the Statistical data mainly collected from the local statistical office of Thuy Van commune and Xuan Hoa village. 4. FINDINGS Firstly, a small recap will be given displaying the patterns of urbanization most characteristic to the city of Hue. Secondly, the implications of this urban expansion to the local land market of Xuan Hoa will be discussed, detailing the influence the expansion has to 933
6. local sellers and buyers. After, the final section will hone in more specific on the different types of households and the benefits they derive of the urban expansion of Hue city. 4.1. Urbanization from Hue to Xuan Hoa Hue is a medium-sized city with 400,000 inhabitants in Central Vietnam. It was the imperial capital of Vietnam under the Nguyen Dynasty (1802-1945), and now is the capital of Thua Thien Hue Province. Over the past few years, there have been dramatic changes in the socio-economic structure of Hue city. The total population increased from 304,000 people in 2002 to 346,000 people in 2012 (HSO, 2005, 2013). Annual economic growth has averaged 9.5 per cent (1996–2005), and 14.2 per cent (2006-2010), and it is predicted at 14 per cent in the period of 2011-2015 (Quyet dinh 564/QĐ-UBND, 2007). The services and tourism sectors contributed 72.7 per cent to the local economy in 2012, with industry at 26.8 per cent and agriculture 0.5 per cent. The stage for rapidly increased urbanization and urban expansion was set on 25 May 2009, at the 10th National party Congress as the Politburo drew up Conclusion No. 48-KL/TW calling for Thua Thien Hue to become a centrally-governed city by 2020 (Ket luan so 48 – KL/TW, 2009). In this sense, it replicates the example of the main, larger cities in Vietnam (Ha Noi, Ho Chi Minh, Hai Phong, Can Tho and Da Nang) where the use of state funding was concentrated within their own boundaries. The timescale for the shift of status in Thua Thien Hue has since moved rather optimistically to 2015. Structurally, the aim is for the province to rearrange itself as a centrally-governed city, with Hue a nuclear city surrounded by a specified collection of satellite towns, including: Tu Ha, Huong Thuy, Thuan An and Binh Dien. As approved by the Prime Minister, the size of Hue is expected to increase from 70.99 km2 in 2012 with 346,000 people to 348 km2 in 2030 with 674,000 people (Quyet dinh 649/ QĐ- TTg, 2014). 934
7. Figure 1.Map of Hue in 2012 and urban expansion plan until 2030 Thuan An Tu Ha Huong Thuy Binh Dien (Source: Hue Planning Institution, 2013) As a result, there is an increased demand for quality housing, as well as for infrastructure and facilities to allow for both economic growth and sustainable urban development. This has created numerous pressures on land use, especially on areas in peri- urban zones where land, traditionally used for agriculture, is still available and is cheaper than urban land. In fact, peri-urban zones have become an attractive location for business activities and land speculation by various stakeholders including state enterprises as well as foreign and private domestic investors. In Thuy Van, for example, a similar trend can be seen in recent years. The table 2below shows the gradual decline of farmland as opposed to the land being used for urbanization purposes. Table 2. Land use change in Thuy Van commune between 2005 and 2014 (ha) Year Farmland Change % Residential land Change % Total 2005 314 0 0 174 0 0 488 2008 297 -17 -5,4 191 +17 +5.4 488 2011 290 -7 -2,4 198 +7 +2.4 488 2014 280 -10 -3,4 208 +10 +3.4 488 (Source: Thuy Van Commune) Similar to the city, but also to the commune, a rise in population levels can be seen in Xuan Hoa village. Data provided by the statistician of the local communal office shows a rise of inhabitants of 35.6%, measured between 2005 and 2014. Although no data about the land use was available, the statistic regarding the main source of income of local household reflects the same trend of a declining involvement of agriculture. The number of households, which have a form of agriculture as its main source of income, has declined by 25%between 2008 and 2014. Meanwhile, the number of household, which do not base on the agricultural activity as its main source of income, has increased by 63%. Related to the construction activities, most projects within Xuan Hoa such as cultural house, resettlement area, concrete roads, new urban area, etc. have started in 2005. Besides these construction projects, attention has been given to improving the electrical grid, the sanitation system and the availability of internet. These activities are part of the general plan 935
8. to bring along modernization. They have resulted into a 20% rise of households connected to the electrical grid and a 303% rise of household with an internet connection, according to the head of Xuan Hoa village. 4.2. Implications to the land market of Xuan Hoa The current state of the land market in Xuan is that, as of January 2015, no more land sales take place due to a government ushered stop. In view of more works that are infrastructural, the government has deemed it unwise to sell or buy up land as it does not yet know specifically where more infrastructural works will take place. However, unsurprisingly, before this stop the land market of Xuan Hoa was soaring and saw a steep increase in the price that was being paid for land over the last 10 years. Mainly due to the increased attractiveness of the village, in relation to the improved infrastructure and relative location towards the city of Hue, the village has seen a stark population growth. As can be seen by looking at the table 3, this has affected the value of land tremendously. Other data, also from the local communal office, suggests a rise for plots, suggesting towards local sellers being more prone to selling a piece of their land, rather than the whole of the plot they own. When looking at the perspective of the seller, their motivations for selling a piece of land differ strongly among those who are less affluent and those who are more affluent. They differ between having an immediate need for money or the opportunity of having some extra money to spend. The less affluent, usually whose main income comes from farming or construction work; decide to sell land when school tuitions need to be paid, or in order to pay for hospital bills, or to build a shrine for family members who recently passed away. The more affluent, those with stable jobs and incomes, do not have the same immediate need for money and mention the possibility of choosing ones neighbor or having some extra spending money as persuading reasons for selling a piece of their land. Table 3. Development average price per m2 of land in Xuan Hoa Year Value per m2 (VND) Change (%) 2005 1.500 NA 2008 1.900 +26,7 2011 2.200 +15,8 2014 2.900 +31,8 (Source: Thuy Van commune) As for local perspective on why the value of land has increased, along with the rise in population, most respondents point towards the infrastructural works and the improvement of city-like amenities, especially the village one day becoming part of the main city, as the main reason for the increased land values.However, some difference can be found between the affluent and the less affluent. Those with more money to spend tend to talk about increased comfort levels, and those less affluent are mainly happy about the improved image and attractiveness of the village. The general plans regarding the growth of Hue city and the prospect of the village one day becoming part of the city are generally met with enthusiasm. Only a few respondents 936
9. mention being scared about possibly having more crime and losing the tranquility of the countryside. However, as for the current stop on land sales, this is met by especially the less affluent as being very detrimental towards their position. Because people are now not able anymore to mediate sudden costs by selling a piece of land, they regard the stop on lands sales as unwanted and causes an increase in their levels of insecurity. 4.3. Effects on the local livelihoods As has been mentioned in section three, in order to do a proper analysis of the data coming from semi-structured interviews with local households in Xuan Hoa, a clear distinction has been made based on two main factors, namely length of residency in the village and local status. The length of residency has been measured by looking at whether or not a respondent household has lived in the village for more than 10 years, for in 2005 most of the urban development had begun. A difference in view is therefore a logical consequence between household that have and those that have not fully experienced the whole transformation up until now. The aspect of local status is measured by asking for the household main source of income and by looking at the households’ position within the village, meaning whether or not a household has a large plot of land and/or has a prominent position is local society. A detailed picture is gained by looking at the table 4. Here a difference is clearly noticeable between the different types of households found in Xuan Hoa village. Table 4. Difference in buying/selling land among household groups in Xuan Hoa (m2) Subject LEH LTH Subject NUH NEH Average m2 sold by 322 275 Average m2 bought by 111 266 Average m2 owned by 1.400 583 Largest size owned by 200 387 Largest size owned by 2.090 1.500 Smallest size owned by 70 150 Smallest size owned by 1.000 150 Largest size sold by 700 520 Smallest size sold by 100 55 LEH = Local Elite Households (n=6); TLH = Traditional Local Households (n=10); NUH = New Urban Households (n=11); NEH = New Elite Households (n=4) Looking at the economic transformation of Xuan Hoa, a difference in perceived change can be seen between households that have moved to Xuan Hoa in the last 10 years and that of longtime resident households. Relatively new urban households (NUH) are much more geared towards the city in terms of their shopping needs and need for services. For this reason, they do not have good view on what has changed within local commercial amenities. The NUH group does notice some new small grocery stores and new coffee shops. However, these are regarded as insufficient to meet their daily needs. NUH respondents mention that they use local shops only to buy small items. Prices are thought of to be quite similar to shops in the city, yet shops lack in terms of quality and diversity of products. Some of the female respondents do notice a slight improvement in regards to products available within these local shops. Some better quality products are becoming more available locally, for example milk of the brand called Dutch Lady. 937
10. Households with the longtime resident in the village have a much better view on local commercial activities. Most see a clear increase of grocery shops and coffee shops over the last 10 years. However, some mention that these shops remain underdeveloped and close down quickly due to an absence of customers. The more affluent households, the LEH group, are enthusiastic about the local commercial developments. They also seem to be very willing to support these local shops and actively use local services. Both LEH and TLH groups see new and better quality services and products coming into the village. Examples are very ample, such as cooking oil, milk, electric fans and TVs. New services are high-end carpentry, internet shops and motorbike repair shops. Both groups see a slight increase in price, especially about meat and vegetables. However, as some respondents mention, this has more to do with a general increase of costs of living. To the more affluent, this is of no concern. In addition, the less affluent say the higher costs are easily mediated by the paralleling increase in wages. Most benefit to both types of households is derived from the convenience of not having to go to the city for their shopping needs and need for services. As the new households are more geared towards the city, they do not see the full benefits of the local commercial amenities. In terms of job opportunities in the village, especially the TLH group see new local possibilities. Mostly to the benefit of the less affluent households, it has become easier to get multiple low level jobs. Examples can be found within construction, the hospitality industry and small scale agricultural activities such as pig farming and cultivating flowers for the Lunar new year (Tết). Furthermore, some new job opportunities within the village for adolescents and young adult exist. Working as a nanny, for instance, has been mentioned as a good opportunity for young women. Other opportunities, however, lie mostly within the textile industry outside of the village. The second effect of urban transitionon local development is about the changing social life of the village. As the village is being flooded with new households, coming from diverse localities, new values and different ways of living are introduced. In Xuan Hoa, this is clearly noticeable. The stark contrast between the new city-like houses and the existing traditional Vietnamese houses already expresses a different lifestyle. Although not all new houses are of the typical tube-style housing, most do have the distinctive characteristics of having more than one floor, are turned towards the rear of the plot, are gated, and have big square rooms as opposed to having a living space with small alcoves. Looking at the social aspect, especially the traditional local householdsnotice a difference between them and new households. They describe the new households as those with high incomes, stable jobs and having a small and young family of maybe one or two children. The adults do not socialize a lot and are often much preoccupied with their job, as opposed to enjoying life. Only during special holidays, such as Tết holiday or a special day of worship, many are at home and join in with the local festivities. Despite of this, the general view is that new households are adapting well to the countryside lifestyle. Especially positive is the high contribution these households give towards the budget for the local organizations (Women/Farmer/Youth Association) and social events (celebration activities). 938
11. In terms of specific benefit to the household with the longtime residents, the aspect of more helping hands is very beneficial. Having more friends and a richer social life is seen as a positive outcome. On the other side of the spectrum, both the NUH and the NEH respondents talk about similar benefits and describe local people as very friendly and social. Local households are usually seen as big and derive their main source of income from a job within the village, usually farming. Some have described the local households to be ‘united’. The third effect of urban transition on Xuan Hoa village regards to the physical transformation. The dimension entails the discussion of tangible developments concerning new infrastructure, improvements of utilities and other visual changes within the peri-urban locality. In Xuan Hoa, many roads have been improved, from soil to concrete. Also, a new highway and a new bridge are being built, and modernizations such as the improved electrical grid, the improved sanitation system and the increased level of internet access, have taken place. To all respondents,the most striking and beneficial of these developments have been the improved roads, the new bridge and the new street lighting. All also mention the improved electrical grid, sanitation system and an improved level of internet access. Furthermore,consensus among respondents exist regarding the change in landscape. Many plots, formerly used for agriculture, are now being converted for residential purposes and, as is especially mentioned by the longtime resident households, the local landscape is changing due to the construction of new, city-like houses. All respondents are pleased with these developments and say they add to the comfort level and the beauty of the village. To those with local businesses the developments are especially advantageous. For example, bigger trucks can now pass through the street and pick up new ornaments or bring chairs and tables for repair. The improved electrical grid allows for better machinery when making, for example, incense candles. Some respondents also mention the bigger roads as being a favorable condition for new and larger shops to come to Xuan Hoa village. Most households mention that the concrete roads and the streetlights as adding to an increased level of safety and level of mobility. The former soil roads used to have potholes and were damaging to motorbikes and, especially after heavy rains, were slowing down the speed of traffic. Now people can get around within the village and to the city much easier and faster. The streetlights have increased visibility and safety at night. Likewise, the improved electrical grid has made it possible for streetlights to always be turned on at nighttime, especially at the weekend and during special holidays. Overall, the respondent households agree that the improvements have created good conditions for the future growth of the village. As all are content, criticism however exists towards the speed of the developments. The NEH and the TLH group argue that developments go too slow and that this is damaging to the image of the village and the position of local farmers. Some people are waiting for the government to finish their construction works, so they can start repairing their house. Respondents within the LEH and the NUH are more reserved. They rather argue for faster construction and better conditions for those affected by government enforced land acquisitions. 939
12. 5. CONCLUSION As Vietnam is making its transition from being a socialist state towards a society where capitalist values are more at the forefront, the Vietnamese government is actively directing its efforts towards pathways for general economic growth and further modernizations. Reflected both in the masterplan of Hue city and as well as in tangible changes on the local level, developments are currently taking place that are geared at providing a sound base for business to thrive and for people to partake in a similar manner. At the local level, it are especially the infrastructural works that are at the root cause for bringing in more urban features and positive changes within the local land market in peri- urban villages, in which Xuan Hoa as an example. The improved roads, new highway and improvements to the electrical grid and hence the streetlights and internet access, have turned Xuan Hoa into an attractive place to invest and live in. Consequently,this is reflected into the rising land values, the greater ease in selling a plot of land and buyers being attracted by the availability of relatively cheap land within closeproximity towards the city, a finding which is consistent with current theory. Adding to current knowledge are the consequences of urban expansion to local livelihoods. The level of mobility has increased, as roads are better accessible by motorbikes and people can travel and move around more safely after the sun has set. Also the stable electrical grid has been very favorable to local businesses and households, who are now more able to use electrical appliances andcommodities such as a fan, TV or a computer. Furthermore, the outlook and image of the village has changed towards a more positive view as modern style houses are being built; and as increasing in the flow of affluent households within the village. The benefits of urban growth, however, are not equally felt by of all types of households. A stark contract can been seen between the more affluent and the less affluent households. The more affluent households benefit most from being able to live a rural kind of lifestyle, with lots of space, tranquility and fresh air, in combination with a city-like level of amenities, meaning having a good internet connection, shops, and restaurants in close vicinity. These households reap most benefit out of the modernity brought by urbanization. On the other side of the spectrum are the less affluent households. They benefit most from the changing local economic structure. These households mention being more able to get multiple jobs in the village, are more able to sell their lands, and can geta better price for their land. These jobs, nevertheless,are only menial jobs anddo not affect their livelihoods in such a significant way that a rise in social mobility can be achieved. Furthermore, in regard of the greater ease in the selling of land and the higher land value, a word of caution is in order. DeSoto(2010) rightfully argues that the selling of land by such households affectsthe level of security and future livelihood strategies. An argument also shown by looking at the impact of the government sanctioned current stop on land sales. In conclusion, it can be said that, as nearly always, it are the more vulnerable of society who face the greatest challenges when change occurs. Although in general the urban growth of Hue is for the better of all, a plea can be made towards the local governments to do more in respect of mediating the negative externalities for households that are not as fortunate as others are. 940
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