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Security of Property Rights for Whom?

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  • Terra Lawson-Remer

Abstract

Property insecurity of non-elites can be compatible with or even enhance economic growth, but it also encourages conflict-which can undermine long-term growth and economic development. Using a new set of indicators which measure the property insecurity of marginalized ethno-cultural minority groups, this article demonstrates that the severity of property insecurity for the worst-off group in a country is strongly associated with the onset of armed conflict, and-once civil war is controlled for-property insecurity for marginalized minorities corresponds with higher growth rates. Economic growth can occur when the property rights of elites are secure but marginalized minorities face a high risk of expropriation, as land may be reallocated into the hands of investors with skills and access to capital. However, the potentially growth-enhancing effect of forced displacement and resettlement is reduced, because the property insecurity of minorities also increases the likelihood of armed conflict.

Suggested Citation

  • Terra Lawson-Remer, 2014. "Security of Property Rights for Whom?," Oxford Development Studies, Taylor & Francis Journals, vol. 42(3), pages 319-342, September.
    • Handle: RePEc:taf:oxdevs:v:42:y:2014:i:3:p:319-342
    DOI: 10.1080/13600818.2013.878327
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    1. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472, Elsevier.
    2. World Bank, 2008. "World Development Indicators 2008," World Bank Publications - Books, The World Bank Group, number 11855, December.
    3. World Bank, 2009. "World Development Indicators 2009," World Bank Publications - Books, The World Bank Group, number 4367, December.
    4. World Bank, 2008. "World Development Indicators 2008," World Bank Publications - Books, The World Bank Group, number 28241, December.
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    1. Rosete Alfredo R. M., 2018. "Understanding Investor Behavior in the Recent Global Land Rush," Journal of Globalization and Development, De Gruyter, vol. 9(1), pages 1-13, June.
    2. Rosete, Alfredo, 2015. "Expropriation and the Location of Farmland Investment: a theoretical investigation into the Land Rush," UMASS Amherst Economics Working Papers 2015-17, University of Massachusetts Amherst, Department of Economics.
    3. Thomson, Frances & Parada-Hernández, Monica & Acero, Camilo, 2022. "Land formalization – The new magic bullet in counternarcotics? A case study of coca cultivation and tenure (in)formality from Colombia," World Development, Elsevier, vol. 149(C).
    4. Rahmat Aris Pratomo & D. Ary A. Samsura & Erwin van der Krabben, 2020. "Transformation of Local People’s Property Rights Induced by New Town Development (Case Studies in Peri-Urban Areas in Indonesia)," Land, MDPI, vol. 9(7), pages 1-24, July.

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