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Inter-Generational Effects of Titling Programmes: Physical vs. Human Capital

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  • Néstor Gandelman

Abstract

Programmes aimed at giving legal ownership titles to the occupants of land (‘titling programmes’) are associated with an income (or wealth) effect that induce higher expenditure on normal goods like education and health services. There is also a substitution effect: the elimination of expropriation risk makes home investment more attractive and increases the ‘opportunity cost’ of other forms of spending. The net effect on human capital is ambiguous. Using data from a natural experiment in Uruguay we find that titling favours home investment to the detriment of some dimensions of human capital investment for children of 16 and under.

Suggested Citation

  • Néstor Gandelman, 2016. "Inter-Generational Effects of Titling Programmes: Physical vs. Human Capital," Journal of Development Studies, Taylor & Francis Journals, vol. 52(3), pages 331-342, March.
    • Handle: RePEc:taf:jdevst:v:52:y:2016:i:3:p:331-342
    DOI: 10.1080/00220388.2015.1075977
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    Cited by:

    1. Nestor Gandelman, 2009. "Demand constraints in a titling program in Uruguay," Documentos de Investigación 51, Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales.
    2. Steven B. Caudill & Stephanie O. Crofton & João Ricardo Faria & Neela D. Manage & Franklin G. Mixon & Mary Greer Simonton, 2020. "Property confiscation and the intergenerational transmission of education in post-1948 Eastern Europe," Public Choice, Springer, vol. 184(1), pages 1-41, July.
    3. Chhaochharia, Vidhi & Ghosh, Suman & Vishwasrao, Sharmila, 2024. "Property rights and human capital investment," Journal of Economic Behavior & Organization, Elsevier, vol. 217(C), pages 11-31.

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