Publication: Do Overlapping Land Rights Reduce Agricultural Investment? Evidence from Uganda
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Date
2008
ISSN
00029092
Published
2008
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While the need for land-related investment for sustainable land management and increased productivity is well recognized, quantitative evidence on agricultural productivity effects of secure property rights in Africa is scant. Within-household analysis of investments by owner-cum-occupants in Uganda points toward significant and quantitatively large investment effects of full ownership. Registration is estimated to have no investment effects, whereas measures to strengthen occupancy rights attenuate investment disincentives. While this supports the importance of secure tenure as a precondition for growth, it also suggests that interventions aiming to increase tenure security need to be context-specific for it to be fully effective.
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Publication Do Overlapping Property Rights Reduce Agricultural Investment? Evidence from Uganda(World Bank, Washington, DC, 2007-08)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.Publication Impacts of Land Certification on Tenure Security: Investment, and Land Market Participation : Evidence from Ethiopia(2011)While early attempts at land titling in Africa were often unsuccessful, factors such as new legislation, low-cost methods, and increasing demand for land have generated renewed interest. A four-period panel allows use of a pipeline and difference-indifferences approach to assess impacts of land registration in Ethiopia. We find that the program increased tenure security, land-related investment, and rental market participation and yielded benefits significantly above the cost of implementation.Publication Rural Land Certification in Ethiopia: Process, Initial Impact, and Implications for Other African Countries(2008)Although many African countries have recently adopted highly innovative and pro-poor land laws, lack of implementation thwarts their potentially far-reaching impact on productivity, poverty reduction, and governance. We use a representative household survey from Ethiopia where, over a short period, certificates to more than 20 million plots were issued to describe the certification process, explore its incidence and preliminary impact, and quantify the costs. While this provides many suggestions to ensure sustainability and enhance impact, Ethiopia's highly cost-effective first-time registration process provides important lessons.Publication Assessing the Functioning of Land Rental Markets in Ethiopia(2008)Although a large theoretical literature discusses the possible inefficiency of sharecropping contracts, empirical evidence on this phenomenon has been ambiguous at best. Household-level fixed-effect estimates from about 8,500 plots operated by households that own and sharecrop land in the Ethiopian highlands provide support for the hypothesis of Marshallian inefficiency. At the same time, a factor adjustment model suggests that the extent to which rental markets allow households to attain their desired operational holding size is limited. Our analysis points toward factor market imperfections (no rental for oxen), lack of alternative employment opportunities, and tenure insecurity as possible reasons underlying such an outcome. They suggest that, rather than worrying only about Marshallian inefficiency, attention to the broader environment and policy framework within which producers can adjust to their optimum operational area will be warranted.Publication Legal Knowledge and Economic Development: The Case of Land Rights in Uganda(2008)Although many African countries have recently embarked on revisions of their land legislations to give recognition to customary arrangements and strengthen women's rights, few studies assess the actual or potential economic impact of such steps. We use data from Uganda to assess the impact of tenure regime, perceived transfer rights, and legal knowledge on investment, productivity, and land values. While results support strong and positive investment-impacts of tenure and transferability, knowledge of the new law's provisions adds considerably to these, pointing towards substantial potential from disseminating the law that has not yet been fully realized.
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