The Legacy Effect of Squatter Settlements on Urban Redevelopment
The paper presents a theoretical model that seeks to answer the question of why former squatter settlements tend to upgrade/redevelop at a slower pace than otherwise similar settlements originating in the formal sector. We argue that squatter settlers’ initial strategy to access urban land creates a ‘legacy effect’ that curtails settlement upgrading possibilities even after the settlements are granted property titles. We test our model using the case of Cochabamba, Bolivia and obtain results consistent with our theoretical model prediction. Our results suggest that the commonly used ‘benign neglect while keeping the threat of eviction’ policy has profound impacts on how land is developed in the informal sector and this poses costly consequences for local governments after legalization.
|Date of creation:||2010|
|Contact details of provider:|| Postal: Katajanokanlaituri 6B, 00160 Helsinki|
Web page: http://www.wider.unu.edu/
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- Galiani, Sebastian & Schargrodsky, Ernesto, 2010.
"Property rights for the poor: Effects of land titling,"
Journal of Public Economics,
Elsevier, vol. 94(9-10), pages 700-729, October.
- Sebastian Galiani & Ernesto Schargrodsky, 2005. "Property Rights for the Poor: Effects of Land Titling," Business School Working Papers proprightspoor, Universidad Torcuato Di Tella.
- Sebastian Galiani & Ernesto Schargrodsky, 2010. "Property Rights for the Poor: Effects of Land Titling," CEDLAS, Working Papers 0103, CEDLAS, Universidad Nacional de La Plata.
- Geoffrey Turnbull, 2005. "The Investment Incentive Effects of Land Use Regulations," The Journal of Real Estate Finance and Economics, Springer, vol. 31(4), pages 357-395, December.
- Galiani, Sebastian & Schargrodsky, Ernesto, 2004. "Effects of land titling on child health," Economics & Human Biology, Elsevier, vol. 2(3), pages 353-372, December.
- Sebastian Galiani & Ernesto Schargrodsky, 2004. "Effects of Land Titling on Child Health," Research Department Publications 3184, Inter-American Development Bank, Research Department.
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- Hoy, Michael & Jimenez, Emmanuel, 1991. "Squatters' Rights and Urban Development: An Economic Perspective," Economica, London School of Economics and Political Science, vol. 58(229), pages 79-92, February.
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- Turnbull, Geoffrey K., 2008. "Squatting, eviction and development," Regional Science and Urban Economics, Elsevier, vol. 38(1), pages 1-15, January. Full references (including those not matched with items on IDEAS)
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