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Land Accumulation Dynamics in Developing Country Agriculture

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  • Henderson, Heath
  • Corral, Leonardo
  • Simning, Eric
  • Winters, Paul

Abstract

Understanding land accumulation dynamics is relevant for policy makers interested in the economic effects of land inequality in developing country agriculture. We thus explore and simultaneously test the leading theories of microlevel land accumulation dynamics using unique panel data from Paraguay. The results suggest that farm growth varies systematically with farm size --a formal rejection of stochasticgrowth theories (that is, Gibrat's Law)-- and that titled land area may have considerable infuence on land accumulation. Furthermore, our estimates indicate that a dualistic agrarian structure is the likely product of the unfettered operation of land markets.

Suggested Citation

  • Henderson, Heath & Corral, Leonardo & Simning, Eric & Winters, Paul, 2014. "Land Accumulation Dynamics in Developing Country Agriculture," IDB Publications (Working Papers) 6560, Inter-American Development Bank.
  • Handle: RePEc:idb:brikps:6560
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    More about this item

    Keywords

    Paraguay; Dynamic panel models; Land inequality; Land accumulation; Farm growth;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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