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The Forgotten Property Rights: Restrictions on Land Use in Vietnam

Author

Listed:
  • Thomas Markussen

    (Department of Economics, University of Copenhagen)

  • Finn Tarp

    (Department of Economics, University of Copenhagen)

  • Katleen Van den Broeck

    (Department of Economics, University of Copenhagen)

Abstract

Studies of land property rights usually focus on tenure security and transfer rights. Rights to determine how to use the land are regularly ignored. However, in transition economies such as Vietnam and China, user rights are often limited. Relying on a unique Vietnamese panel data set at both household and plot level, we show that crop choice restrictions are widespread and prevent crop diversification. Restrictions do not decrease household income, but restricted households work harder, and there are indications that they are supplied with higher quality inputs. Our findings are consistent with the view that the Vietnamese government has managed to intervene effectively in agricultural (rice) production to promote output and food security. At the same time, it is now time to carefully consider the potential benefits of a more diversified crop pattern.

Suggested Citation

  • Thomas Markussen & Finn Tarp & Katleen Van den Broeck, 2009. "The Forgotten Property Rights: Restrictions on Land Use in Vietnam," Discussion Papers 09-21, University of Copenhagen. Department of Economics.
  • Handle: RePEc:kud:kuiedp:0921
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    File URL: http://www.econ.ku.dk/english/research/publications/wp/dp_2009/0921.pdf/
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    References listed on IDEAS

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    1. Markussen, Thomas, 2008. "Property Rights, Productivity, and Common Property Resources: Insights from Rural Cambodia," World Development, Elsevier, vol. 36(11), pages 2277-2296, November.
    2. Pingali, Prabhu L & Xuan, Vo-Tong, 1992. "Vietnam: Decollectivization and Rice Productivity Growth," Economic Development and Cultural Change, University of Chicago Press, vol. 40(4), pages 697-718, July.
    3. Joseph Hayes & Michael Roth & Lydia Zepeda, 1997. "Tenure Security, Investment and Productivity in Gambian Agriculture: A Generalized Probit Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 369-382.
    4. Markus Goldstein & Christopher Udry, 2008. "The Profits of Power: Land Rights and Agricultural Investment in Ghana," Journal of Political Economy, University of Chicago Press, vol. 116(6), pages 981-1022, December.
    5. Brasselle, Anne-Sophie & Gaspart, Frederic & Platteau, Jean-Philippe, 2002. "Land tenure security and investment incentives: puzzling evidence from Burkina Faso," Journal of Development Economics, Elsevier, vol. 67(2), pages 373-418, April.
    6. Rohini Pande & Christopher Udry, 2005. "Institutions and Development:A View from Below," Working Papers 928, Economic Growth Center, Yale University.
    7. 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.
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    Cited by:

    1. Huy, Hoang & Lyne, Michael & Ratna, Nazmun & Nuthall, Peter, 2013. "Efficiency And Equity Impacts Of The Rental Market For Cropland In Vietnam And Sources Of Transaction Costs Impeding The Market," 2013 Conference, August 28-30, 2013, Christchurch, New Zealand 160264, New Zealand Agricultural and Resource Economics Society.
    2. Benedikter, Simon & Waibel, Gabi, 2013. "The formation of water user groups in a nexus of central directives and local administration in the Mekong Delta, Vietnam," MPRA Paper 49468, University Library of Munich, Germany.

    More about this item

    Keywords

    Property rights; restrictions; Vietnam;

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture

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