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Determinants and Consequences of Land Sales Market Participation: Panel Evidence from India

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  • Deininger, Klaus W.
  • Jin, Songqing
  • Nagarajan, Hari K.

Abstract

Although opinions on impacts of land market transfers are sharply divided, few studies explore the welfare- and productivity impact of land markets on a larger scale. We use a large Indian panel spanning almost 20 years, together with a climatic shock (rainfall) indicator, to assess the productivity- and equity-impact of market-mediated land transfers (sale and purchase) as compared to non-market ones (inheritance). While frequent shocks increase land market activity, an effect that is mitigated by presence of safety nets and banks- land sales markets improved productivity and helped purchasers, many of them formerly landless, to accumulate non-land assets and significantly enhance their welfare.

Suggested Citation

  • Deininger, Klaus W. & Jin, Songqing & Nagarajan, Hari K., 2007. "Determinants and Consequences of Land Sales Market Participation: Panel Evidence from India," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon TN 9824, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea07:9824
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    References listed on IDEAS

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    Cited by:

    1. Ram Singh, 2012. "Inefficiency And Abuse Of Compulsory Land Acquisition--An Enquiry Into The Way Forward," Working papers 209, Centre for Development Economics, Delhi School of Economics.
    2. Falkowski, Jan, 2013. "Does it matter how much land your neighbour owns? The functioning of land markets in Poland from a social comparison perspective," Factor Markets Working Papers 171, Centre for European Policy Studies.
    3. Krishna, Vijesh V. & Pascual, Unai & Qaim, Matin, 2014. "Do emerging land markets promote forestland appropriation? Evidence from Indonesia," EFForTS Discussion Paper Series 7, University of Goettingen, Collaborative Research Centre 990 "EFForTS, Ecological and Socioeconomic Functions of Tropical Lowland Rainforest Transformation Systems (Sumatra, Indonesia)".
    4. Tarun Jain, 2014. "Where There Is a Will: Fertility Behavior and Sex Bias in Large Families," Journal of Human Resources, University of Wisconsin Press, vol. 49(2), pages 393-423.
    5. Thomas Vendryes, 2014. "Peasants Against Private Property Rights: A Review Of The Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 971-995, December.
    6. Roy, Sanchari, 2015. "Empowering women? Inheritance rights, female education and dowry payments in India," Journal of Development Economics, Elsevier, vol. 114(C), pages 233-251.
    7. Gwendoline Promsopha, 2016. "Temporary transfers of land and risk-coping mechanisms in Thailand," Working Papers hal-01409110, HAL.
    8. repec:eee:wdevel:v:99:y:2017:i:c:p:335-349 is not listed on IDEAS
    9. Aryal, Jeetendra P. & Holden, Stein T., 2011. "Caste Discrimination, Land Reforms and Land Market Performance in Nepal," CLTS Working Papers 1/11, Norwegian University of Life Sciences, Centre for Land Tenure Studies.
    10. Kenjiro Yagura, 2015. "Effect of intergenerational asset transfers on land distribution in rural Cambodia: case studies of three rice-growing villages," Agricultural Economics, International Association of Agricultural Economists, vol. 46(2), pages 173-186, March.
    11. Maitreesh Ghatak & Parikshit Ghosh, 2011. "The Land Acquisition Bill-- A Critique and a Proposal," Working papers 204, Centre for Development Economics, Delhi School of Economics.
    12. Wineman, Ayala & Liverpool-Tasie, Lenis Saweda, 2016. "Land Markets and Equity of Land Distribution in Northwestern Tanzania," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 235893, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    Land Economics/Use;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation

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