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Land Property Rights and Resource Allocation

  • Sebastian Galiani
  • Ernesto Schargrodsky

In this paper, we review the most significant empirical literature on the causal effects of land property rights. The literature indicates that secure property rights boost investment in both rural and urban areas. These effects, however, do not appear to be the result of improved credit conditions. In rural areas, clear land rights also lead to increases in productivity and farm earnings. In contrast, for urban areas, the evidence for an effect on earnings is mixed. We find little empirical evidence to suggest that land-titling programs enhance the development of land markets. Finally, some evidence suggests that land titling induces changes in household structure that foster human capital accumulation and may help to increase the incomes of future generations.

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File URL: http://dx.doi.org/10.1086/661957
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File URL: http://dx.doi.org/10.1086/661957
Download Restriction: Access to the online full text or PDF requires a subscription.

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Article provided by University of Chicago Press in its journal The Journal of Law and Economics.

Volume (Year): 54 (2011)
Issue (Month): S4 ()
Pages: S329 - S345

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Handle: RePEc:ucp:jlawec:doi:10.1086/661957
Contact details of provider: Web page: http://www.journals.uchicago.edu/JLE/

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