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Land Distribution and International Agricultural Productivity

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  • Dietrich Vollrath

Abstract

The unequal distribution of agricultural land is often cited as a source of inefficiency in agriculture. Previous cross-country studies of agricultural productivity differences, though, have not considered land inequality. This article addresses this issue by using cross-country data on inequality in operational holdings of agricultural land from Deininger and Squire (1998) . In an estimation of an agricultural production function, the Gini coefficient for land holdings is found to have a significant negative relationship with productivity. This is consistent with the existence of heterogeneity in productivity by farm size within countries. A one standard deviation drop in the Gini coefficient implies an increase in productivity of 8.5%. Copyright 2007, Oxford University Press.

Suggested Citation

  • Dietrich Vollrath, 2007. "Land Distribution and International Agricultural Productivity," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(1), pages 202-216.
  • Handle: RePEc:oup:ajagec:v:89:y:2007:i:1:p:202-216
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    File URL: http://hdl.handle.net/10.1111/j.1467-8276.2007.00973.x
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