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The Virtuous Cycle of Property

Author

Listed:
  • Marco Fabbri

    (University Pompeu Fabra and Barcelona GSE)

  • Giuseppe Dari-Mattiacci

    (Columbia University)

Abstract

This paper shows that formalizing private property rights has a positive effect on the propensity to respect the property of others. We study a recent large-scale land tenure reform in West Africa that was the first of its kind to be implemented as a randomized control trial. Results of a modified dictator game show that the formalization of private property rights reduced an individual's willingness to take from others' endowment. We used additional experimental measures and postexperimental survey data to rule out alternative explanations for the observed behavior that do not imply a change in preferences.

Suggested Citation

  • Marco Fabbri & Giuseppe Dari-Mattiacci, 2021. "The Virtuous Cycle of Property," The Review of Economics and Statistics, MIT Press, vol. 103(3), pages 413-427, July.
    • Handle: RePEc:tpr:restat:v:103:y:2021:i:3:p:413-427
    DOI: 10.1162/rest_a_00905
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    Cited by:

    1. Deininger,Klaus W. & Ali,Daniel Ayalew, 2022. "How Urban Land Titling and Registry Reform Affect Land and Credit Markets : Evidencefrom Lesotho," Policy Research Working Paper Series 10043, The World Bank.
    2. Ali, Daniel Ayalew & Deininger, Klaus, 2024. "Using registry data to assess gender-differentiated land and credit market effects of urban land policy reform: Evidence from Lesotho," World Development, Elsevier, vol. 175(C).

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