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What Drives Land Sales and Rentals in Rural Africa: Evidence from Western Burkina Faso

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  • Estelle Koussoubé

    () (PSL, Université Paris Dauphine, LEDa, IRD, UMR DIAL)

Abstract

(english) This paper examines the conditions of emergence of agricultural land markets in the cotton zone of Burkina Faso. I use census data obtained from 454 villages in the Hauts-Bassins region, to estimate the determinants of activity in land sales and rental markets, focusing on the effect of internal in-migration. After controlling for the endogeneity of in-migration using instrumental variables, the results show a significant and positive impact of in-migration on the probability of rentals of agricultural land at the village level. The results also show that the eradication of river blindness in the study area, and rainfall shocks in migrant origin provinces are important determinants of in-migration in this part of Burkina Faso. Furthermore, I find a positive impact of urban proximity on both land sales and rental market activity. These findings suggest that heterogeneity in land endowment and access to (input and output) markets play a crucial role in the emergence of land markets in Western Burkina Faso. _________________________________ (français) Cet article examine les conditions d’émergence des marchés fonciers ruraux dans la région des Hauts-Bassins dans la zone cotonnière du Burkina Faso. J’utilise des données de recensement sur 454 villages de la région combinées avec des données géo-référencées pour estimer l’impact de la migration sur les ventes et locations de terres agricoles. La première contribution de ce papier est de corriger du biais d’endogénéité de la migration en utilisant des variables instrumentales, à savoir les chocs de précipitations dans les régions d’origine des migrants, et la participation au programme de lutte contre l’onchocercose (PLO) lancé en 1974 par l’Organisation mondiale de la Santé. En recourant à cette approche par variables instrumentales, je trouve que l’augmentation de la part des migrants dans les villages a un impact positif sur la probabilité d’avoir un marché foncier actif à la location et à la vente. Ces résultats suggèrent que la rareté de la terre n’est pas le principal déterminant des ventes et locations de terres agricoles; les différences de dotations en terres jouent un rôle important dans l’émergence et le développement des marchés fonciers.

Suggested Citation

  • Estelle Koussoubé, 2014. "What Drives Land Sales and Rentals in Rural Africa: Evidence from Western Burkina Faso," Working Papers DT/2014/10, DIAL (Développement, Institutions et Mondialisation).
  • Handle: RePEc:dia:wpaper:dt201410
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    References listed on IDEAS

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    Keywords

    Agricultural Land Markets; Internal Migration; Urban Proximity; Rainfall Shocks; River Blindness; Burkina Faso.;

    JEL classification:

    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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