Abstract After the 2008 financial crisis, how did local governments use the land to finance urban construction? Based on China's urban panel data from 2010 to 2017 and using the difference-in-difference modal, this paper examines the impact of the county-to-district reform on urban investment bonds from the perspective of land elements. The study shows that the county-to-district has significantly promoted the assignment of urban investment bonds. On average, the amount of urban investment bonds issued in cities where had county-to-district reform increase by 30%-34%, and the probability of issuance increase by 56%. The mechanism analysis indicates the reform county-to-district mainly promote the assignment of urban investment bonds by increasing the revenue from land transfers, auctions, and listings. And the heterogeneity analysis finds that the county-to-district reform only affects cities not change officials, the central and western regions and before the implementation of the new budget law in 2015. Based on the above conclusions, this article puts forward policy recommendations to strengthen the construction of the local government financing restraint systems, adjust the fiscal and taxation relationship between the central and local governments, improve the particular transfer payment system, and market-oriented allocation of construction land quotas.
2022, Vol. 39 
