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Do overlapping property rights reduce agricultural investment ? evidence from Uganda

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  • Deininger, Klaus
  • Ali, Daniel Ayalew

Abstract

The need for land-related investment to ensure sustainable land management and increase productivity of land use is widely recognized. However, there is little rigorous evidence on the effects of property rights for increasing agricultural productivity and contributing toward poverty reduction in Africa. Whether and by how much overlapping property rights reduce investment incentives, and the scope for policies to counter such disincentives, are thus important policy issues. Using information on parcels under ownership and usufruct by the same household from a nationally representative survey in Uganda, the authors find significant disincentives associated with overlapping property rights on short and long-term investments. The paper combines this result with information on crop productivity to obtain a rough estimate of the magnitudes involved. The authors make suggestions on ways to eliminate such inefficiencies.

Suggested Citation

  • Deininger, Klaus & Ali, Daniel Ayalew, 2007. "Do overlapping property rights reduce agricultural investment ? evidence from Uganda," Policy Research Working Paper Series 4310, The World Bank.
  • Handle: RePEc:wbk:wbrwps:4310
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    Cited by:

    1. K. Deininger & S. Jin & H. K. Nagarajan, 2009. "Land Reforms, Poverty Reduction, and Economic Growth: Evidence from India," Journal of Development Studies, Taylor & Francis Journals, vol. 45(4), pages 496-521.
    2. Deininger, Klaus & Savastano, Sara & Xia, Fang, 2017. "Smallholders’ land access in Sub-Saharan Africa: A new landscape?," Food Policy, Elsevier, vol. 67(C), pages 78-92.

    More about this item

    Keywords

    Wetlands; Labor Policies; Common Property Resource Development; Municipal Housing and Land;

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