IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Land tenure and investment incentives: Evidence from West Africa

  • Fenske, James

The existing literature on the relationship between property rights in land and agricultural investment in Africa has given results that are often confusing and contradictory. I make two clarifying contributions to this literature. First, I pull together existing studies and investigate whether the results they find have been affected by research methods or local contexts. Studies with small sample sizes, those that use binary investment measures, and those that control for household fixed effects are less likely to find a statistically significant link between land tenure and investment. Self-reported tenure security has been a poor predictor of investment outcomes. Second, I test for a relationship between land tenure and agricultural investment in nine data sets from West Africa. While the link between tenure and investment is significant for fallow and tree planting, it is less robust for labor use and other inputs, such as manure or chemical fertilizer.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.sciencedirect.com/science/article/B6VBV-5025VD8-1/2/1e9b2a2b10f33556f88a827c9f9085f0
Download Restriction: Full text for ScienceDirect subscribers only

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Elsevier in its journal Journal of Development Economics.

Volume (Year): 95 (2011)
Issue (Month): 2 (July)
Pages: 137-156

as
in new window

Handle: RePEc:eee:deveco:v:95:y:2011:i:2:p:137-156
Contact details of provider: Web page: http://www.elsevier.com/locate/devec

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as in new window
  1. Banerjee, Abhijit V. & Ghatak, Maitreesh, 2004. "Eviction threats and investment incentives," Journal of Development Economics, Elsevier, vol. 74(2), pages 469-488, August.
  2. Marcel Fafchamps & Chris Udry & Katherine Czukas, . "Drought and Saving in West Africa: Are Livestock a Buffer Stock?," Working Papers 97013, Stanford University, Department of Economics.
  3. Klaus Deininger & Daniel Ayalew Ali, 2008. "Do Overlapping Land Rights Reduce Agricultural Investment? Evidence from Uganda," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(4), pages 869-882.
  4. Daniel Ayalew Ali & Stefan Dercon & Madhur Gautam, 2011. "Property rights in a very poor country: tenure insecurity and investment in Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 42(1), pages 75-86, 01.
  5. Kazianga, Harounan & Masters, William A., 2002. "Investing in soils: field bunds and microcatchments in Burkina Faso," Environment and Development Economics, Cambridge University Press, vol. 7(03), pages 571-591, July.
  6. Shiferaw, Bekele & Holden, Stein T., 1998. "Resource degradation and adoption of land conservation technologies in the Ethiopian Highlands: A case study in Andit Tid, North Shewa," Agricultural Economics, Blackwell, vol. 18(3), pages 233-247, May.
  7. Stein Holden & Hailu Yohannes, 2002. "Land Redistribution, Tenure Insecurity, and Intensity of Production: A Study of Farm Households in Southern Ethiopia," Land Economics, University of Wisconsin Press, vol. 78(4), pages 573-590.
  8. Deininger, Klaus & Ayalew, Daniel & Yamano, Takashi, 2006. "Legal knowledge and economic development : the case of land rights in Uganda," Policy Research Working Paper Series 3868, The World Bank.
  9. Nkonya, Ephraim M. & Pender, John L. & Jagger, Pamela & Sserunkuuma, Dick & Kaizzi, Crammer & Ssali, Henry, 2004. "Strategies for sustainable land management and poverty reduction in Uganda:," Research reports 133, International Food Policy Research Institute (IFPRI).
  10. Jose, Ariyappillil Mathai, 2008. "Recent Developments in the Rwandan Agriculture: The Challenges of Attaining Food Security and Abolishing Absolute Poverty," 2007 Second International Conference, August 20-22, 2007, Accra, Ghana 52131, African Association of Agricultural Economists (AAAE).
  11. Otsuka, Keijiro & Quisumbing, Agnes R. & Payongayong, Ellen & Aidoo, J.B., 2003. "Land tenure and the management of land and trees: the case of customary land tenure areas of Ghana," Environment and Development Economics, Cambridge University Press, vol. 8(01), pages 77-104, February.
  12. Deininger, Klaus & Jin, Songqing, 2006. "Tenure security and land-related investment: Evidence from Ethiopia," European Economic Review, Elsevier, vol. 50(5), pages 1245-1277, July.
  13. Kabubo-Mariara, Jane, 2007. "Land conservation and tenure security in Kenya: Boserup's hypothesis revisited," Ecological Economics, Elsevier, vol. 64(1), pages 25-35, October.
  14. Sjaastad, Espen & Bromley, Daniel W., 1997. "Indigenous land rights in sub-Saharan Africa: Appropriation, security and investment demand," World Development, Elsevier, vol. 25(4), pages 549-562, January.
  15. Deininger, Klaus & Castagnini, Raffaella, 2004. "Incidence and impact of land conflict in Uganda," Policy Research Working Paper Series 3248, The World Bank.
  16. Douglas Staiger & James H. Stock, 1994. "Instrumental Variables Regression with Weak Instruments," NBER Technical Working Papers 0151, National Bureau of Economic Research, Inc.
  17. Besley, Timothy, 1995. "Property Rights and Investment Incentives: Theory and Evidence from Ghana," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 903-37, October.
  18. Sarah Gavian & Marcel Fafchamps, 1996. "Land Tenure and Allocative Efficiency in Niger," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(2), pages 460-471.
  19. Gavian, Sarah & Ehui, Simeon, 1999. "Measuring the production efficiency of alternative land tenure contracts in a mixed crop-livestock system in Ethiopia," Agricultural Economics, Blackwell, vol. 20(1), pages 37-49, January.
  20. Erica Field, 2007. "Entitled to Work: Urban Property Rights and Labor Supply in Peru," The Quarterly Journal of Economics, MIT Press, vol. 122(4), pages 1561-1602, November.
  21. Udry, Christopher, 1995. "Risk and Saving in Northern Nigeria," American Economic Review, American Economic Association, vol. 85(5), pages 1287-1300, December.
  22. Menale Kassie & Stein Holden, 2007. "Sharecropping efficiency in Ethiopia: threats of eviction and kinship," Agricultural Economics, International Association of Agricultural Economists, vol. 37(2-3), pages 179-188, 09.
  23. repec:cup:cbooks:9780521868273 is not listed on IDEAS
  24. Johnson, Omotunde E G, 1972. "Economic Analysis, The Legal Framework and Land Tenure Systems," Journal of Law and Economics, University of Chicago Press, vol. 15(1), pages 259-76, April.
  25. Joseph Hayes & Michael Roth & Lydia Zepeda, 1997. "Tenure Security, Investment and Productivity in Gambian Agriculture: A Generalized Probit Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 369-382.
  26. Andre, Catherine & Platteau, Jean-Philippe, 1998. "Land relations under unbearable stress: Rwanda caught in the Malthusian trap," Journal of Economic Behavior & Organization, Elsevier, vol. 34(1), pages 1-47, January.
  27. Takeshi SAKURAI, 2006. "Intensification Of Rainfed Lowland Rice Production In West Africa: Present Status And Potential Green Revolution," The Developing Economies, Institute of Developing Economies, vol. 44(2), pages 232-251.
  28. Gray, Leslie C. & Kevane, Michael, 2001. "Evolving Tenure Rights and Agricultural Intensification in Southwestern Burkina Faso," World Development, Elsevier, vol. 29(4), pages 573-587, April.
  29. Graham Moor & W Lieb Nieuwoudt, 1998. "Tenure security and productivity in small-scale agriculture in Zimbabwe: Implications for South Africa," Development Southern Africa, Taylor & Francis Journals, vol. 15(4), pages 609-620.
  30. Gebremedhin, Berhanu & Swinton, Scott M., 2003. "Investment in soil conservation in northern Ethiopia: the role of land tenure security and public programs," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 29(1), July.
  31. Admos Chimhowu & Philip Woodhouse, 2008. "Communal Tenure and Rural Poverty: reflections on land transactions in Svosve Communal Area, Zimbabwe," Brooks World Poverty Institute Working Paper Series 3508, BWPI, The University of Manchester.
  32. Deininger, Klaus & Ali, Daniel Ayalew & Holden, Stein & Zevenbergen, Jaap, 2007. "Rural land certification in Ethiopia : process, initial impact, and implications for other African countries," Policy Research Working Paper Series 4218, The World Bank.
  33. Markus Goldstein & Christopher Udry, 2008. "The Profits of Power: Land Rights and Agricultural Investment in Ghana," Journal of Political Economy, University of Chicago Press, vol. 116(6), pages 981-1022, December.
  34. Kabubo-Mariara, Jane, 2005. "Herders response to acute land pressure under changing property rights: some insights from Kajiado District, Kenya," Environment and Development Economics, Cambridge University Press, vol. 10(01), pages 67-85, February.
  35. Amsalu, Aklilu & de Graaff, Jan, 2007. "Determinants of adoption and continued use of stone terraces for soil and water conservation in an Ethiopian highland watershed," Ecological Economics, Elsevier, vol. 61(2-3), pages 294-302, March.
  36. Smith, Robert E., 2004. "Land Tenure, Fixed Investment, and Farm Productivity: Evidence from Zambia's Southern Province," World Development, Elsevier, vol. 32(10), pages 1641-1661, October.
  37. Atwood, David A., 1990. "Land registration in Africa: The impact on agricultural production," World Development, Elsevier, vol. 18(5), pages 659-671, May.
  38. Gavian, Sarah & Ehui, Simeon, 1999. "Measuring the production efficiency of alternative land tenure contracts in a mixed crop-livestock system in Ethiopia," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 20(1), January.
  39. Frank Place & S. E. Migot-Adholla, 1997. "The Economic Effects of Land Registration on Smallholder Farms in Kenya: Evidence from Nyeri and Kakamega Districts," Land Economics, University of Wisconsin Press, vol. 73(3), pages 360-373.
  40. T. D. Stanley, 2001. "Wheat from Chaff: Meta-analysis as Quantitative Literature Review," Journal of Economic Perspectives, American Economic Association, vol. 15(3), pages 131-150, Summer.
  41. Place, Frank & Swallow, Brent M., 2000. "Assessing the relationships between property rights and technology adoption in smallholder agriculture: a review of issues and empirical methods," CAPRi working papers 2, International Food Policy Research Institute (IFPRI).
  42. Place, Frank & Otsuka, Keijiro, 2001. "Tenure, Agricultural Investment, and Productivity in the Customary Tenure Sector of Malawi," Economic Development and Cultural Change, University of Chicago Press, vol. 50(1), pages 77-99, October.
  43. Clay, Daniel & Reardon, Thomas & Kangasniemi, Jaakko, 1998. "Sustainable Intensification in the Highland Tropics: Rwandan Farmers' Investments in Land Conservation and Soil Fertility," Economic Development and Cultural Change, University of Chicago Press, vol. 46(2), pages 351-77, January.
  44. Pinckney, Thomas C & Kimuyu, Peter K, 1994. "Land Tenure Reform in East Africa: Good, Bad or Unimportant?," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 3(1), pages 1-28, April.
  45. Fitsum Hagos & Stein Holden, 2006. "Tenure security, resource poverty, public programs, and household plot-level conservation investments in the highlands of northern Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 34(2), pages 183-196, 03.
  46. Hanan G. Jacoby & Bart Minten, 2007. "Is Land Titling in Sub-Saharan Africa Cost-Effective? Evidence from Madagascar," World Bank Economic Review, World Bank Group, vol. 21(3), pages 461-485, June.
  47. Abdulai, Awudu & Owusu, Victor & Goetz, Renan, 2008. "Property rights and investment in agriculture: Evidence for Ghana," MPRA Paper 37046, University Library of Munich, Germany.
  48. Francis D. K. Anim, 1999. "A Note on the Adoption of Soil Conservation Measures in the Northern Province of South Africa," Journal of Agricultural Economics, Wiley Blackwell, vol. 50(2), pages 336-345.
  49. Baland, J.M. & Gaspart, F. & Place, F. & Platteau, J.P., 1999. "Poverty, Tenure Security and Access to Land in Central Uganda: The Role of Market and Non-Market Processes," Papers 216, Notre-Dame de la Paix, Sciences Economiques et Sociales.
  50. Card, David & Krueger, Alan B, 1995. "Time-Series Minimum-Wage Studies: A Meta-analysis," American Economic Review, American Economic Association, vol. 85(2), pages 238-43, May.
  51. repec:cup:cbooks:9780521687850 is not listed on IDEAS
  52. Brasselle, Anne-Sophie & Gaspart, Frederic & Platteau, Jean-Philippe, 2002. "Land tenure security and investment incentives: puzzling evidence from Burkina Faso," Journal of Development Economics, Elsevier, vol. 67(2), pages 373-418, April.
  53. Okoye, B.C & Onyenweaku, C.E & Agwu, A.E, 2006. "Technical Efficiency of Small-Holder Cocoyam Farmers in Anambra State, Nigeria: Implications for Agricultural Extension Policy," MPRA Paper 17463, University Library of Munich, Germany.
  54. Firmin-Sellers, Kathryn & Sellers, Patrick, 1999. "Expected Failures and Unexpected Successes of Land Titling in Africa," World Development, Elsevier, vol. 27(7), pages 1115-1128, July.
  55. James H. Stock & Motohiro Yogo, 2002. "Testing for Weak Instruments in Linear IV Regression," NBER Technical Working Papers 0284, National Bureau of Economic Research, Inc.
  56. Newey, Whitney K., 1987. "Efficient estimation of limited dependent variable models with endogenous explanatory variables," Journal of Econometrics, Elsevier, vol. 36(3), pages 231-250, November.
  57. Ault, David E & Rutman, Gilbert L, 1979. "The Development of Individual Rights to Property in Tribal Africa," Journal of Law and Economics, University of Chicago Press, vol. 22(1), pages 163-82, April.
  58. Clark, Gregory, 1998. "Commons Sense: Common Property Rights, Efficiency, and Institutional Change," The Journal of Economic History, Cambridge University Press, vol. 58(01), pages 73-102, March.
  59. Quisumbing, Agnes R. & Otsuka, Keijiro, 2001. "Land, trees, and women: evolution of land tenure institutions in Western Ghana and Sumatra," Research reports 121, International Food Policy Research Institute (IFPRI).
  60. Aliber, Michael & Walker, Cherryl, 2006. "The impact of HIV/AIDS on land rights: Perspectives from Kenya," World Development, Elsevier, vol. 34(4), pages 704-727, April.
  61. Zikhali, Precious, 2008. "Tenure Security and Investments: Micro-evidence from Zimbabwe’s Fast Track Land Reform Programme," Working Papers in Economics 321, University of Gothenburg, Department of Economics.
  62. F. Place & K. Otsuka, 2002. "Land Tenure Systems and Their Impacts on Agricultural Investments and Productivity in Uganda," Journal of Development Studies, Taylor & Francis Journals, vol. 38(6), pages 105-128.
  63. Robinson, Elizabeth J. Z., 2005. "Reassessing the interaction between investment and tenure uncertainty," Environment and Development Economics, Cambridge University Press, vol. 10(02), pages 143-157, May.
  64. Bekele, Wagayehu & Drake, Lars, 2003. "Soil and water conservation decision behavior of subsistence farmers in the Eastern Highlands of Ethiopia: a case study of the Hunde-Lafto area," Ecological Economics, Elsevier, vol. 46(3), pages 437-451, October.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:eee:deveco:v:95:y:2011:i:2:p:137-156. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.