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Reverse tenancy in Romania: Actors' rationales and equity outcomes

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  • L. Amblard

    () (METAFORT - Mutations des activités, des espaces et des formes d'organisation dans les territoires ruraux - INRA - Institut National de la Recherche Agronomique - AgroParisTech - ENITA Clermont - CEMAGREF-UR MECF)

  • J.P. Colin

    (UMR MOISA - Marchés, Organisations, Institutions et Stratégies d'Acteurs - CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - Montpellier SupAgro - Centre international d'études supérieures en sciences agronomiques - INRA Montpellier - Institut national de la recherche agronomique [Montpellier] - CIHEAM - Centre International des Hautes Études Agronomiques Méditerranéennes - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier)

Abstract

Following the implementation of the land reform in the 1990's, land rentals have developed in Romania, mainly in a reverse tenancy configuration. The paper provides an analysis of contractual practices in this configuration, based on empirical data collected through intensive field work in Transylvania. The paper depicts the reverse tenancy configuration and the conditions of its emergence in Romania, following the implementation of transition reforms in the agricultural sector. Characterizing the negotiation and enforcement of contracts in this configuration shows that in a situation where no effective enforcement mechanism is available, the market structure is such that tenants can choose very incomplete contracts or default on their contractual obligations. The analysis of the landowners' perspective, taking into account their perception of the contractual relationship contributes to explain why contractual practices persist in this context. The article concludes with a discussion, from a policy perspective, of the equity-enhancing role of the land lease market in such this reverse tenancy configuration.

Suggested Citation

  • L. Amblard & J.P. Colin, 2008. "Reverse tenancy in Romania: Actors' rationales and equity outcomes," Post-Print hal-00454533, HAL.
  • Handle: RePEc:hal:journl:hal-00454533 DOI: 10.1016/j.landusepol.2008.10.008 Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-00454533
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    References listed on IDEAS

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