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Land allocation in Vietnam's agrarian transition

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  • Ravallion, Martin
  • Van der Walle, Dominique

Abstract

While liberalizing key factor markets is a crucial step in the transition from a socialist control-economy to a market economy, the process can be stalled by imperfect information, high transaction costs, and covert resistance from entrenched interests. The authors study land-market adjustment in the wake of Vietnam's reforms aiming to establish a free market in land-use rights following de-collectivization. Inefficiencies in the initial administrative allocation are measured against an explicit counterfactual market solution. The authors'tests using a farm-household panel data set spanning the reforms suggest that land allocation responded positively but slowly to the inefficiencies of the administrative allocation. They find no sign that the transition favored the land rich or that it was thwarted by the continuing power over land held by local officials.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 2951.

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Date of creation: 31 Jan 2003
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Handle: RePEc:wbk:wbrwps:2951

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Related research

Keywords: Climate Change; Environmental Economics&Policies; Land Use and Policies; Agricultural Knowledge&Information Systems; Water Conservation; Environmental Economics&Policies; Forestry; Urban Housing; Agricultural Knowledge&Information Systems; Rural Land Policies for Poverty Reduction;

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References

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  1. Dwayne Benjamin & Loren Brandt, 2000. "Property Rights, Labor Markets, and Efficiency in a Transition Economy: The Case of Rural China," Working Papers, University of Toronto, Department of Economics benjamin-00-02, University of Toronto, Department of Economics.
  2. John Fitzgerald & Peter Gottschalk & Robert Moffitt, 1998. "An Analysis of Sample Attrition in Panel Data: The Michigan Panel Study of Income Dynamics," Journal of Human Resources, University of Wisconsin Press, vol. 33(2), pages 251-299.
  3. Dilip Mookherjee & Pranab K. Bardhan, 2000. "Capture and Governance at Local and National Levels," American Economic Review, American Economic Association, American Economic Association, vol. 90(2), pages 135-139, May.
  4. Dwayne Benjamin & Loren Brandt, 2002. "Agriculture and Income Distribution in Rural Vietnam under Economic Reforms: A Tale of Two Regions," Working Papers, University of Toronto, Department of Economics benjamin-02-01, University of Toronto, Department of Economics.
  5. Pingali, Prabhu L & Xuan, Vo-Tong, 1992. "Vietnam: Decollectivization and Rice Productivity Growth," Economic Development and Cultural Change, University of Chicago Press, University of Chicago Press, vol. 40(4), pages 697-718, July.
  6. Ravallion, Martin & Van der Walle, Dominique, 2001. "Breaking up the collective farm : welfare outcomes of Vietnam's massive land privatization," Policy Research Working Paper Series 2710, The World Bank.
  7. Galasso, Emanuela & Ravallion, Martin, 2005. "Decentralized targeting of an antipoverty program," Journal of Public Economics, Elsevier, Elsevier, vol. 89(4), pages 705-727, April.
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Citations

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Cited by:
  1. World Bank, 2004. "The Socialist Republic of Vietnam : Coffee Sector Report," World Bank Other Operational Studies 14405, The World Bank.
  2. Katleen Van den Broeck & Carol Newman & Finn Tarp, 2007. "Land Titles and Rice Production in Vietnam," Discussion Papers 07-32, University of Copenhagen. Department of Economics.
  3. Deininger, Klaus W. & Jin, Songqing, 2005. "Land Sales and Rental Markets in Transition: Evidence from Rural Vietnam," 2005 Annual meeting, July 24-27, Providence, RI, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) 19359, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  4. Huy, Hoang & Lyne, Michael & Ratna, Nazmun & Nuthall, Peter, 2013. "Efficiency And Equity Impacts Of The Rental Market For Cropland In Vietnam And Sources Of Transaction Costs Impeding The Market," 2013 Conference, August 28-30, 2013, Christchurch, New Zealand, New Zealand Agricultural and Resource Economics Society 160264, New Zealand Agricultural and Resource Economics Society.
  5. Bardhan, Pranab & Mookherjee, Dilip, 2006. "Pro-poor targeting and accountability of local governments in West Bengal," Journal of Development Economics, Elsevier, Elsevier, vol. 79(2), pages 303-327, April.
  6. Tomoko Harigaya & Alan de Brauw, 2004. "Seasonal Migration and Improving Living Standards in Vietnam," Department of Economics Working Papers, Department of Economics, Williams College 2004-10, Department of Economics, Williams College.
  7. Vasco Molini & Guanghua Wan, 2008. "Discovering sources of inequality in transition economies: a case study of rural Vietnam," Economic Change and Restructuring, Springer, Springer, vol. 41(1), pages 75-96, March.
  8. Marsh, Sally P. & MacAulay, T. Gordon, 2003. "Farm Size and Land Use Changes in Vietnam Following Land Reforms," 2003 Conference (47th), February 12-14, 2003, Fremantle, Australia, Australian Agricultural and Resource Economics Society 57919, Australian Agricultural and Resource Economics Society.
  9. Anonymous & MacAulay, T. Gordon & Van Hung, Pham, 2006. "Agricultural Development and Land Policy in Vietnam," Monographs, Australian Centre for International Agricultural Research, Australian Centre for International Agricultural Research, number 114071.
  10. Harigaya, Tomoko & de Brauw, Alan, 2004. "Migration, Credit Availability, And Expenditure Growth In Rural Vietnam," 2004 Annual meeting, August 1-4, Denver, CO, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) 20030, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  11. Martin Linde-Rahr, 2008. "Willingness to Pay for Forest Property Rights and the Value of Increased Property Rights Security," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 41(4), pages 465-478, December.
  12. Van Hung, Pham & MacAulay, T. Gordon, 2006. "Land Transactions in the North of Vietnam: A Modelling Approach," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia, International Association of Agricultural Economists 25601, International Association of Agricultural Economists.

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