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Village Fairness Norms and Land-Rental Markets

Author

Listed:
  • Kwabena Krah
  • Annemie Maertens
  • Wezi Mhango
  • Hope Michelson
  • Vesall Nourani

Abstract

This paper documents the role of village fairness norms in land markets. A strong and robust relationship is established between experimentally elicited village-level fairness norms and land-rental rates across 250 Malawian villages. Stronger fairness norms correlate with a tighter range in village rental rates. The study suggests that the fairness norms for tenants appear to be more important, constraining the land-rental price range by a price ceiling rather than a price floor. The results further indicate that rented-in fields are of lower agronomic quality than owner-cultivated fields, but do not find any statistically significant relationship between the fairness norms and land-rental activity in the village.

Suggested Citation

  • Kwabena Krah & Annemie Maertens & Wezi Mhango & Hope Michelson & Vesall Nourani, 2024. "Village Fairness Norms and Land-Rental Markets," The World Bank Economic Review, World Bank, vol. 38(4), pages 796-823.
    • Handle: RePEc:oup:wbecrv:v:38:y:2024:i:4:p:796-823.
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    File URL: http://hdl.handle.net/10.1093/wber/lhae009
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