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Land and Power

  • Baland, Jean-Marie
  • Robinson, James A

We study the implications of electoral corruption for resource allocation, factor market equilibrium and inequality. We focus on the control of the voting of agricultural workers by landlords and show that if the employment relationship is subject to moral hazard then the resulting rents conceded by employers give them a comparative advantage in controlling the political activities of their workers. This generates an added incentive to own land and leads to inefficiently high land concentration. We test the predictions of the model by examining in detail the effects of the introduction of the secret ballot in Chile in 1958.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 3800.

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Date of creation: Feb 2003
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Handle: RePEc:cpr:ceprdp:3800
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  1. Daron Acemoglu & James A. Robinson, 2001. "A Theory of Political Transitions," American Economic Review, American Economic Association, vol. 91(4), pages 938-963, September.
  2. Pranab Bardhan, Samuel Bowles and Herbert Gintis., 1998. "Wealth Inequality, Wealth Constraints and Economic Performance," Center for International and Development Economics Research (CIDER) Working Papers C98-097, University of California at Berkeley.
  3. Persson, Torsten & Tabellini , Guido, 1997. "Political Economics and Macroeconomic Policy," Seminar Papers 630, Stockholm University, Institute for International Economic Studies.
  4. Patrick Legros & Andrew Newman, 1996. "Wealth effects, distribution, and the theory of organization," ULB Institutional Repository 2013/7036, ULB -- Universite Libre de Bruxelles.
  5. Gene Grossman & Elhanan Helpman, 1994. "Electoral Competition and Special Interest Politics," NBER Working Papers 4877, National Bureau of Economic Research, Inc.
  6. Dilip Mookherjee, 1995. "Informational Rents and Property Rights in Land," Boston University - Institute for Economic Development 55, Boston University, Institute for Economic Development.
  7. Abhijit V. Banerjee & Andrew F. Newman, 1990. "Occupational Choice and the Process of Development," Discussion Papers 911, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
  8. James M. Snyder, 1991. "On Buying Legislatures," Economics and Politics, Wiley Blackwell, vol. 3(2), pages 93-109, 07.
  9. Robert H. Bates & Avner Greif & Margaret Levi & Jean-Laurent Rosenthal, 1998. "Analytic Narratives," Economics Books, Princeton University Press, edition 1, volume 1, number 6355, April.
  10. Torsten Persson & Guido Tabellini, 2005. "The Economic Effects of Constitutions," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262661926, June.
  11. Binswanger, Hans P. & Deininger, Klaus & Feder, Gershon, 1993. "Power, distortions, revolt, and reform in agricultural land relations," Policy Research Working Paper Series 1164, The World Bank.
  12. Sadoulet, Elisabeth, 1992. "Labor-Service Tenancy Contracts in a Latin American Context," American Economic Review, American Economic Association, vol. 82(4), pages 1031-42, September.
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