IDEAS home Printed from https://ideas.repec.org/p/cpr/ceprdp/8644.html
   My bibliography  Save this paper

Land deals in Africa: pioneers and speculators

Author

Listed:
  • Collier, Paul
  • Venables, Anthony J

Abstract

Much African land currently has low productivity and has attracted investors purchasing (or leasing) land as a speculative option on higher future prices or productivity. If land deals are to be beneficial they need to induce productivity enhancing investments. Some of these will be publicly provided (infrastructure, agronomic knowledge), and some can only be provided by ‘pioneer’ investors who discover what works and who create demonstration effects. Such pioneers can be rewarded (incentive compatibly) for the positive externalities they create by being granted options on large areas of land. However, pioneers must be separated from speculators by screening and by requirements to work a fraction of the land.

Suggested Citation

  • Collier, Paul & Venables, Anthony J, 2011. "Land deals in Africa: pioneers and speculators," CEPR Discussion Papers 8644, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:8644
    as

    Download full text from publisher

    File URL: http://www.cepr.org/active/publications/discussion_papers/dp.php?dpno=8644
    Download Restriction: CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Grenadier, Steven R., 1995. "Valuing lease contracts A real-options approach," Journal of Financial Economics, Elsevier, vol. 38(3), pages 297-331, July.
    2. Avinash K. Dixit & Robert S. Pindyck, 1994. "Investment under Uncertainty," Economics Books, Princeton University Press, edition 1, number 5474.
    3. Avinash Dixit, 1992. "Investment and Hysteresis," Journal of Economic Perspectives, American Economic Association, vol. 6(1), pages 107-132, Winter.
    4. Besley, Timothy, 1995. "Property Rights and Investment Incentives: Theory and Evidence from Ghana," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 903-937, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Deininger, Klaus & Xia, Fang, 2016. "Quantifying Spillover Effects from Large Land-based Investment: The Case of Mozambique," World Development, Elsevier, vol. 87(C), pages 227-241.
    2. Di Corato, Luca & Hess, Sebastian, 2013. "Farmland Investments in Africa: What’s the Deal?," Working Paper Series 2013:10, Swedish University of Agricultural Sciences, Department Economics.
    3. repec:eee:wdevel:v:98:y:2017:i:c:p:430-446 is not listed on IDEAS
    4. repec:oup:jecgeo:v:18:y:2018:i:1:p:59-86. is not listed on IDEAS
    5. Deininger,Klaus W. & Xia,Fang & Mate,Aurelio & Payongayong,Ellen & Deininger,Klaus W. & Xia,Fang & Mate,Aurelio & Payongayong,Ellen, 2015. "Quantifying spillover effects from large farm establishments : the case of Mozambique," Policy Research Working Paper Series 7466, The World Bank.
    6. Collier, Paul & Venables, Anthony J., 2012. "Greening Africa? Technologies, endowments and the latecomer effect," Energy Economics, Elsevier, vol. 34(S1), pages 75-84.
    7. Larson,Donald F. & Muraoka,Rie & Otsuka,Keijiro, 2016. "On the central role of small farms in African rural development strategies," Policy Research Working Paper Series 7710, The World Bank.
    8. Ali, Daniel Ayalew & Deininger, Klaus & Harris, Anthony, 2017. "Using National Statistics to Increase Transparency of Large Land Acquisition: Evidence from Ethiopia," World Development, Elsevier, vol. 93(C), pages 62-74.
    9. Ali,Daniel Ayalew & Deininger,Klaus W. & Harris,Charles Anthony Philip & Ali,Daniel Ayalew & Deininger,Klaus W. & Harris,Charles Anthony Philip, 2016. "Large farm establishment, smallholder productivity, labor market participation, and resilience : evidence from Ethiopia," Policy Research Working Paper Series 7576, The World Bank.
    10. repec:eee:wdevel:v:104:y:2018:i:c:p:281-296 is not listed on IDEAS
    11. Collier, Paul & Dercon, Stefan, 2014. "African Agriculture in 50Years: Smallholders in a Rapidly Changing World?," World Development, Elsevier, vol. 63(C), pages 92-101.
    12. Khadjavi, Menusch & Sipangule, Kacana & Thiele, Rainer, 2016. "Social capital and large-scale agricultural investments: An experimental investigation in Zambia," Kiel Working Papers 2056, Kiel Institute for the World Economy (IfW).
    13. Jana Brandt, 2017. "Large Scale Land Investments: Impact on Child Health," MAGKS Papers on Economics 201713, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).

    More about this item

    Keywords

    Africa; farmland; land deals; lease; rent;

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:8644. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.