Property Rights in a Very Poor Country: Tenure Insecurity and Investment in Ethiopia

Property Rights in a Very Poor Country: Tenure Insecurity and Investment in Ethiopia PDF Author: Madhur Gautam
Publisher: World Bank Publications
ISBN:
Category : Agricultural production
Languages : en
Pages : 31

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Book Description
Abstract: This paper provides evidence from one of the poorest countries of the world that the property rights matter for efficiency, investment, and growth. With all land state-owned, the threat of land redistribution never appears far off the agenda. Land rental and leasing have been made legal, but transfer rights remain restricted and the perception of continuing tenure insecurity remains quite strong. Using a unique panel data set, this study investigates whether transfer rights and tenure insecurity affect household investment decisions, focusing on trees and shrubs. The panel data estimates suggest that limited perceived transfer rights, and the threat of expropriation, negatively affect long-term investment in Ethiopian agriculture, contributing to the low returns from land and perpetuating low growth and poverty.

Property Rights in a Very Poor Country

Property Rights in a Very Poor Country PDF Author: Daniel Ayalew Ali
Publisher:
ISBN:
Category :
Languages : en
Pages : 31

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Book Description
This paper provides evidence from one of the poorest countries of the world that the property rights matter for efficiency, investment, and growth. With all land state-owned, the threat of land redistribution never appears far off the agenda. Land rental and leasing have been made legal, but transfer rights remain restricted and the perception of continuing tenure insecurity remains quite strong. Using a unique panel data set, this study investigates whether transfer rights and tenure insecurity affect household investment decisions, focusing on trees and shrubs. The panel data estimates suggest that limited perceived transfer rights, and the threat of expropriation, negatively affect long-term investment in Ethiopian agriculture, contributing to the low returns from land and perpetuating low growth and poverty.

Household perception and demand for better protection of land rights in Ethiopia

Household perception and demand for better protection of land rights in Ethiopia PDF Author: Ghebru, Hosaena
Publisher: Intl Food Policy Res Inst
ISBN:
Category : Social Science
Languages : en
Pages : 24

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Book Description
The study assesses factors that explain households’ perceived tenure insecurity and the demand for new formalization of land rights in Ethiopia. We use data from the 2013 Agricultural Growth Program (AGP) survey of 7,500 households from high agricultural potential areas of Ethiopia. The results from a logistic estimation and a descriptive analysis reveal that the de-mand for further land demarcation is positively associated with higher perception of tenure insecurity. Moreover, disaggre-gated regression results indicate that ownership and boundary-related disputes characterize peri-urban locations and vibrant communities, whereas perceived risk of government expropriation of land is mainly manifested in predominantly rural com-munities and areas where administrative land redistribution is a recent practices. Hence, the rollout strategy for the recent wave of the Second-Level Land Certification agenda should avoid a blanket approach, as it can only be considered a best fit for those vibrant and peri-urban locations where demand for further formalization is higher and boundary and ownership-related disputes are more common. However, focusing similar interventions in predominantly agrarian communities and communities with recent administrative land distributions may not be advisable since expropriation risk seems to be dictating perceived tenure insecurity of households in such locations. Rather, regulatory reforms in the form of strengthening the depth of rights over land, such as formalization of rural land lease markets and abolishing conditional restrictions on inter-generational land transfers via inheritance or gifting, could be considered as alternative and cost-effective intervention pack-ages in this latter context.

Institutional Change in the Horn of Africa

Institutional Change in the Horn of Africa PDF Author: Sandra F. Joireman
Publisher: Universal-Publishers
ISBN: 1581120001
Category : Business & Economics
Languages : en
Pages : 352

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Book Description
Traditional theories of property rights change have posited an evolutionary progression of property rights towards private property in response to changes in the relative price ratio of land compared to the other factors of production. Using case studies from two areas of Ethiopia and one area of Eritrea the dissertation demonstrates the role of political factors such as interest group preference and state intervention in directing property rights development away from a linear path. The case studies trace the development of three separate systems of property rights throughout the twentieth century up to the Ethiopian revolution of 1974. Analysis of history and litigation in the three areas demonstrates that in none did property rights evolve spontaneously towards privatization. In one area of the study relative price changes did not lead to changes in the system of property rights as the theory predicts. In the other two areas, changes in property rights followed a change in the relative price of land, but these changes were brought about exogenously, by the intervention of the government or interest groups in guiding property rights in a particular direction. There are two theoretical conclusions to the study 1) property rights development does not always occur when we expect it to, other factors such as vested interests and government reluctance can intervene with their development and 2) even if property rights do change in response to relative price changes, they may not always move towards privatization or greater specification. In addition, one interesting empirical result of the research was that in communal systems of land tenure the transaction costs of land transfer are higher, leading to a drag on economic efficiency in the overall economy of the region. Generally, the incorporation of political factors into the model of changing property rights leads to a less parsimonious, but more accurate description of the progression of land rights in developing countries in particular.

Tenure Security and Land-related Investment

Tenure Security and Land-related Investment PDF Author: Klaus W. Deininger
Publisher:
ISBN:
Category : Agricultural productivity
Languages : en
Pages : 36

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Book Description


Property Rights & Political Development in Ethiopia & Eritrea, 1941-74

Property Rights & Political Development in Ethiopia & Eritrea, 1941-74 PDF Author: Sandra Fullerton Joireman
Publisher: James Currey Publishers
ISBN: 9780852558362
Category : Business & Economics
Languages : en
Pages : 194

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Book Description
This study traces three different land tenure systems in Ethiopia and Eritrea over a 30-year period from the end of Italian occupation to the end of imperial rule. North America: Ohio U Press

Land Redistribution, Tenure Insecurity, and Intensity of Production

Land Redistribution, Tenure Insecurity, and Intensity of Production PDF Author: Stein Terje Holden
Publisher:
ISBN:
Category : Agriculture
Languages : en
Pages : 38

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Book Description


Do Overlapping Land Rights Reduce Agricltural Inverstment?

Do Overlapping Land Rights Reduce Agricltural Inverstment? PDF Author:
Publisher: World Bank Publications
ISBN:
Category :
Languages : en
Pages : 29

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Book Description


The Emergence of Land Markets in Africa

The Emergence of Land Markets in Africa PDF Author: Stein T Holden
Publisher: Routledge
ISBN: 1136523537
Category : Business & Economics
Languages : en
Pages : 337

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Book Description
This book is the first systematic attempt to address emerging land markets and their implications for poverty, equity, and efficiency across a number of African countries. The high incidence of poverty and the need for increased agricultural productivity remain acute in rural areas of sub-Saharan Africa, where a lack of secure land rights and a growing scarcity of land relative to the size of the population are becoming increasingly critical issues. Indeed, land issues in the region are high on the international policy agenda. Yet our knowledge about land tenure security and other rural factor markets (such as labor, oxen, manure, purchased inputs, and credit) is far from adequate to formulate sensible policies. The case studies in the book show that, while land markets and especially informal markets have been rapidly emerging in densely populated parts of Africa - and have generally been to the benefit of the poor--their functions remain imperfect. This is due to policy-induced tenure insecurity and the fragmentation of agricultural land. Applying rigorous quantitative analyses, the book provides a basis for taking into account the role of land markets in national land policies. All too often, the authors argue, land policies have been extreme, either prohibiting all land transactions or giving unrestricted freehold rights to a small elite at the expense of the poor. From the long experience in Asia, it is known that such policies are detrimental to both production efficiency and equity of land use. The authors argue that future policies in Africa should work with the markets. Regulations should be imposed only with careful testing that they are having the intended effects. The Emergence of Land Markets in Africa is a resource for teaching in developed and developing countries, as it provides both comprehensive reviews of the literature and detailed case studies. It is intended to facilitate the dialogue between researchers and policymakers, as well as inspire researchers to go further in their investigations and build an even stronger basis for good policies. The Emergence of Land Markets in Africa is the first publication in the new Environment for Development (EfD) book series. EfD books focus on research and applications in environmental and natural resource economics as they are relevant to poverty reduction and environmental problems in developing countries. The EfD book series is part of the EfD initiative. (www.environmentfordevelopment.org)

Legal knowladge and economic development: The case of land rights in Uganda

Legal knowladge and economic development: The case of land rights in Uganda PDF Author: Klaus W. Deininger
Publisher: World Bank Publications
ISBN:
Category : Land use
Languages : en
Pages : 33

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Book Description
"Mixed evidence on the impact of formal title in much of Africa is often used to question the relevance of dealing with land policy issues in this continent. The authors use data from Uganda to assess the impact of a disaggregated set of rights on investment, productivity, and land values, and to test the hypothesis that individuals' lack of knowledge of the new law reduces their tenure security. Results point toward strong and positive effects of greater tenure security and transferability. Use of exogenous knowledge of its provisions as a proxy for the value of the land law suggests that this piece of legislation had major economic benefits that remain to be fully realized. "--World Bank web site.