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Land Tenure, Tenure Security and Farm Efficiency: Panel Evidence from the Philippines

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  • Jeffrey D. Michler
  • Gerald E. Shively

Abstract

type="main" xml:id="jage12082-abs-0001"> This article tests the relationships among formalised property rights, land tenure contracts and productive efficiency in farming. Using four rounds of panel data from 230 rice farms in the Philippines, we measure the effects of land tenure arrangements on farm efficiency using a stochastic production frontier model. We test for the allocative efficiency of observed land rental markets. We also test how land tenure security affects farmers' investment decisions. Results suggest that, despite the presence of formalised titles, the rental market remains inefficient at allocating land. In contrast, the unformalised tenure contracts used by farmers appear to provide tenure security.

Suggested Citation

  • Jeffrey D. Michler & Gerald E. Shively, 2015. "Land Tenure, Tenure Security and Farm Efficiency: Panel Evidence from the Philippines," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(1), pages 155-169, February.
    • Handle: RePEc:bla:jageco:v:66:y:2015:i:1:p:155-169
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    File URL: http://hdl.handle.net/10.1111/jage.2014.66.issue-1
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    Cited by:

    1. Pede, Valerien O. & McKinley, Justin & Singbo, Alphonse & Kajisa, Kei, 2015. "Spatial Dependency of Technical Efficiency in Rice Farming: The Case of Bohol, Philippines," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205456, Agricultural and Applied Economics Association.
    2. Ligia Alba Melo-Becerra & Antonio José Orozco-Gallo, 2017. "Technical efficiency for Colombian small crop and livestock farmers: A stochastic metafrontier approach for different production systems," Journal of Productivity Analysis, Springer, vol. 47(1), pages 1-16, February.
    3. Uwacu Alban Singirankabo & Maurits Willem Ertsen, 2020. "Relations between Land Tenure Security and Agricultural Productivity: Exploring the Effect of Land Registration," Land, MDPI, vol. 9(5), pages 1-18, May.
    4. Muhammad Waqar Akram & Nida Akram & Wang Hongshu & Shahla Andleeb & Khalil ur Rehman & Umair Kashif & Ayesha Mehmood, 2019. "Impact of Land Use Rights on the Investment and Efficiency of Organic Farming," Sustainability, MDPI, vol. 11(24), pages 1-18, December.
    5. Shi, X. & Zhou, Y. & Heerink, N. & Ma, X., 2018. "The effect of land tenure governance on grain efficiency: Evidence from three provinces in eastern China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277477, International Association of Agricultural Economists.
    6. Qian, Chen & Antonides, Gerrit & Heerink, Nico & Zhu, Xueqin & Ma, Xianlei, 2022. "An economic-psychological perspective on perceived land tenure security: Evidence from rural eastern China," Land Use Policy, Elsevier, vol. 120(C).
    7. Ligia Alba Melo-Becerra & Antonio José Orozco-Gallo, 2015. "Eficiencia técnica de los hogares con producción agropecuaria en Colombia," Documentos de Trabajo Sobre Economía Regional y Urbana 13903, Banco de la República, Economía Regional.
    8. William Nkomoki & Miroslava Bavorová & Jan Banout, 2019. "Factors Associated with Household Food Security in Zambia," Sustainability, MDPI, vol. 11(9), pages 1-18, May.
    9. Yakubu Abdul-Salam & Euan Phimister, 2017. "Efficiency Effects of Access to Information on Small-scale Agriculture: Empirical Evidence from Uganda using Stochastic Frontier and IRT Models," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(2), pages 494-517, June.
    10. Trung Thanh Nguyen & Siegfried Bauer & Ulrike Grote, 2016. "Does Land Tenure Security Promote Manure Use by Farm Households in Vietnam?," Sustainability, MDPI, vol. 8(2), pages 1-19, February.
    11. Arash Dourandish & Sayed Saghaian & Naser Shahnoushi Forushani & Nazanin Mohammadrezazadeh & Sina Kuhestani, 2020. "The Relation Between Property Rights, Farm Size and Technical Efficiency for the Developing Countries' Agricultural Sector," Journal of International Development, John Wiley & Sons, Ltd., vol. 32(5), pages 749-762, July.
    12. Dy, Kenneth Bicol & Chau, Kwong Wing, 2023. "Compulsory land redistribution from the perspective of the theory of price control," Land Use Policy, Elsevier, vol. 131(C).
    13. Bouali Guesmi & Ahmed Yangui & Ibtissem Taghouti & José Maria Gil, 2022. "Trade-Off between Land Use Pattern and Technical Efficiency Performance: Evidence from Arable Crop Farming in Tunisia," Land, MDPI, vol. 12(1), pages 1-13, December.
    14. Mamiit, Rusyan Jill & Yanagida, John & Villanueva, Donald, 2020. "Farm locations and dwelling clusters: Do they make production and technical efficiency spatially contagious?," Food Policy, Elsevier, vol. 92(C).
    15. Michler, Jeffrey D. & Baylis, Kathy & Arends-Kuenning, Mary & Mazvimavi, Kizito, 2019. "Conservation agriculture and climate resilience," Journal of Environmental Economics and Management, Elsevier, vol. 93(C), pages 148-169.
    16. Siyan Zeng & Fengwu Zhu & Fu Chen & Man Yu & Shaoliang Zhang & Yongjun Yang, 2018. "Assessing the Impacts of Land Consolidation on Agricultural Technical Efficiency of Producers: A Survey from Jiangsu Province, China," Sustainability, MDPI, vol. 10(7), pages 1-17, July.
    17. Li, Xinyi & Ito, Junichi, 2023. "Determinants of technical efficiency and farmers’ crop choice rationality: A case study of rural Gansu, China," Journal of Asian Economics, Elsevier, vol. 84(C).
    18. Kiplimo, L.B. & Ngeno, V., 2016. "Understanding the Effect of Land Fragmentation on Farm Level Efficiency: An Application of Quantile Regression-Based Thick Frontier Approach to Maize Production in Kenya," 2016 Fifth International Conference, September 23-26, 2016, Addis Ababa, Ethiopia 249280, African Association of Agricultural Economists (AAAE).
    19. Abdul-Salam, Yakubu & Phimister, Euan, 2015. "Efficiency Effects of Access to Information on Small Scale Agriculture: Empirical Evidence from Uganda," 89th Annual Conference, April 13-15, 2015, Warwick University, Coventry, UK 204302, Agricultural Economics Society.
    20. Singirankabo, Uwacu Alban & Ertsen, Maurits Willem & van de Giesen, Nick, 2022. "The relations between farmers’ land tenure security and agriculture production. An assessment in the perspective of smallholder farmers in Rwanda," Land Use Policy, Elsevier, vol. 118(C).
    21. Keijiro Otsuka, 2021. "Changing Relationship between Farm Size and Productivity and Its Implications for Philippine Agriculture," Discussion Papers 2102, Graduate School of Economics, Kobe University.
    22. Xianqing Ji & Shouying Liu & Jianan Yan & Youyi Li, 2021. "Does Security of Land Operational Rights Matter for the Improvement of Agricultural Production Efficiency under the Collective Ownership in China?," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 29(1), pages 87-108, January.
    23. Walter Dachaga & Walter Timo de Vries, 2022. "Integrating Urban Land Tenure Security in Health Determinants: The Design of Indicators for Measuring Land Tenure Security and Health Relationships in Developing Country Contexts," IJERPH, MDPI, vol. 19(5), pages 1-28, March.

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