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Transaction Costs, Land Rental Markets, and Their Impact on Youth Access to Agriculture in Tanzania

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  • Jacob Ricker-Gilbert
  • Jordan Chamberlin

Abstract

We use three waves of nationally representative panel data from Tanzania to estimate the extent to which land rental markets provide a pathway for youth to enter into agriculture. We also investigate how transaction costs may impede youth access to renting-in land. Results suggest that rental markets are important mechanisms through which young farmers access land, but younger farmers face higher transaction costs when renting land than do older farmers. We also find evidence that younger farmers pay higher prices for rented land and are somewhat less likely to belong to village savings groups than are their older counterparts.

Suggested Citation

  • Jacob Ricker-Gilbert & Jordan Chamberlin, 2018. "Transaction Costs, Land Rental Markets, and Their Impact on Youth Access to Agriculture in Tanzania," Land Economics, University of Wisconsin Press, vol. 94(4), pages 541-555.
  • Handle: RePEc:uwp:landec:v:94:y:2018:i:4:p:541-555
    Note: DOI: 10.3368/le.94.4.541
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    Citations

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    Cited by:

    1. Sarah E. Tione & Stein T. Holden, 2021. "Can rainfall shocks enhance access to rented land? Evidence from Malawi," Agricultural Economics, International Association of Agricultural Economists, vol. 52(6), pages 1013-1028, November.
    2. Abay, Kibrom A. & Chamberlin, Jordan & Berhane, Guush, 2021. "Are land rental markets responding to rising population pressures and land scarcity in sub-Saharan Africa?," Land Use Policy, Elsevier, vol. 101(C).
    3. Oliver Schulte & Trung Thanh Nguyen & Ulrike Grote, 2022. "The Effect of Renting in Cropland on Livelihood Choices and Agricultural Commercialization: A Case Study from Rural Vietnam," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(6), pages 2878-2898, December.
    4. Kijima, Yoko & Tabetando, Rayner, 2020. "Efficiency and equity of rural land markets and the impact on income: Evidence in Kenya and Uganda from 2003 to 2015," Land Use Policy, Elsevier, vol. 91(C).
    5. Rudzani Mudzielwana & Paramu Mafongoya & Maxwell Mudhara, 2022. "An Analysis of the Determinants of Irrigation Farmworkers’ Food Security Status: A Case of Tshiombo Irrigation Scheme, South Africa," Agriculture, MDPI, vol. 12(7), pages 1-14, July.
    6. Yuanyuan Zhu & Yukuan Wang & Bin Fu & Qin Liu & Ming Li & Kun Yan, 2021. "How Are Rural Youths’ Agricultural Skills? Empirical Results and Implications in Southwest China," Agriculture, MDPI, vol. 11(9), pages 1-17, September.
    7. Dolapo Adeyanju & John Mburu & Wainaina Gituro & Chepchumba Chumo & Djana Mignouna & Adebayo Ogunniyi & John Kehinde Akomolafe & Joseph Ejima, 2023. "Assessing food security among young farmers in Africa: evidence from Kenya, Nigeria, and Uganda," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-20, December.
    8. Liu, Yan & Heerink, Nico & Li, Fan & Shi, Xiaoping, 2022. "Do agricultural machinery services promote village farmland rental markets? Theory and evidence from a case study in the North China plain," Land Use Policy, Elsevier, vol. 122(C).
    9. Zhang, Jian & Mishra, Ashok K. & Ma, Xianlei, 2023. "Mechanism of Chinese farmers’ land rental participation: The role of invisible markets and public intervention," Food Policy, Elsevier, vol. 117(C).
    10. Li, Xinyi & Ito, Junichi, 2021. "An empirical study of land rental development in rural Gansu, China: The role of agricultural cooperatives and transaction costs," Land Use Policy, Elsevier, vol. 109(C).
    11. Mulubrhan Amare & Hosaena Ghebru & George Mavrotas & Adebayo Ogunniyi, 2024. "The Role of Land Inheritance in Youth Migration and Employment Choices: Evidence from Rural Nigeria," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 36(1), pages 135-160, February.
    12. Sarah Ephrida Tione, 2020. "Agricultural Resources and Trade Strategies: Response to Falling Land-to-Labor Ratios in Malawi," Land, MDPI, vol. 9(12), pages 1-32, December.
    13. Wang, Yahui & Li, Xiubin & He, Huiyan & Xin, Liangjie & Tan, Minghong, 2020. "How reliable are cultivated land assets as social security for Chinese farmers?," Land Use Policy, Elsevier, vol. 90(C).
    14. Li, Changsheng & Ma, Wanglin & Mishra, Ashok K. & Gao, Liangliang, 2020. "Access to credit and farmland rental market participation: Evidence from rural China," China Economic Review, Elsevier, vol. 63(C).
    15. Hui Mao & Yujia Chai & Shaojian Chen, 2021. "Land Tenure and Green Production Behavior: Empirical Analysis Based on Fertilizer Use by Cotton Farmers in China," IJERPH, MDPI, vol. 18(9), pages 1-18, April.
    16. Zhang, Jian & Mishra, Ashok K. & Hirsch, Stefan, 2021. "Market-oriented agriculture and farm performance: Evidence from rural China," Food Policy, Elsevier, vol. 100(C).
    17. Jia Chen & Jingwen Xu & Hongxiao Zhang, 2022. "Impact of Relationship Governance and Third-Party Intervention on Farmland Transfer Rents—Empirical Evidence from Rural China," Land, MDPI, vol. 11(5), pages 1-16, May.
    18. Idowu James Fasakin & Adebayo Isaiah Ogunniyi & Lateef Olalekan Bello & Djana Mignouna & Razack Adeoti & Zoumana Bamba & Tahirou Abdoulaye & Bola Amoke Awotide, 2022. "Impact of Intensive Youth Participation in Agriculture on Rural Households’ Revenue: Evidence from Rice Farming Households in Nigeria," Agriculture, MDPI, vol. 12(5), pages 1-17, April.
    19. Yuanyuan Chen & Mingyao Cai & Zemin Zhang & Mu Li, 2024. "The Impact of Land Transfer-In on Crop Planting Structure and Its Heterogeneity among Farmers: Evidence from China," Land, MDPI, vol. 13(1), pages 1-15, January.
    20. Wei Wang & Xin Luo & Chongmei Zhang & Jiahao Song & Dingde Xu, 2021. "Can Land Transfer Alleviate the Poverty of the Elderly? Evidence from Rural China," IJERPH, MDPI, vol. 18(21), pages 1-15, October.
    21. Ricker-Gilbert, Jacob & Lunduka, Rodney W. & Kanyamuka, Joseph Samuel & Jumbe, Charles & Kaiyatsa, Stevier & Chamberlin, Jordan, 2017. "Do Farm Land Rental Markets Really Promote Efficiency, Equity and Investment in Smallholder African Agriculture? Evidence from a Matched Tenant-Landlord Survey in Malawi," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258391, Agricultural and Applied Economics Association.
    22. Guangsheng Liu & Lesong Zhao & Huiying Chen & Yuting Zhou & Hanbing Lin & Cunyue Wang & Haojuan Huang & Xiting Li & Zhongyou Yuan, 2022. "Does Farmland Transfer Lead to Non-Grain Production in Agriculture?—An Empirical Analysis Based on the Differentiation of Farmland Renting-In Objects," Sustainability, MDPI, vol. 15(1), pages 1-17, December.
    23. Khonje, Makaiko G. & Nyondo, Christone & Mangisoni, Julius H. & Ricker-Gilbert, Jacob & Burke, William J. & Chadza, William & Muyanga, Milu, 2022. "Does subsidizing legume seeds improve farm productivity and nutrition in Malawi?," Food Policy, Elsevier, vol. 113(C).

    More about this item

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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