Jin, SongqingDeininger, KlausNagarajan, Hari K.2012-06-062012-06-062007-08https://hdl.handle.net/10986/7309Although opinions on impacts of land market transfers are sharply divided, few studies explore the welfare and productivity effects of land markets on a larger scale. This paper uses a large Indian panel spanning almost 20 years, together with a climatic shock (rainfall) indicator, to assess the productivity and equity effects of market-mediated land transfers (sale and purchase) compared with non-market ones (inheritance). The analysis shows that frequent shocks increase land market activity, an effect that is mitigated by the presence of safety nets and banks. Land sales markets improved productivity and helped purchasers, many of whom were formerly landless, to accumulate non-land assets and significantly enhance their welfare.CC BY 3.0 IGOACCESS TO CREDITACCESS TO INFORMATIONAGRARIAN REFORMAGRARIAN STRUCTUREALMBANKSBEST USEBORROWINGBUYERBUYERSCAPITAL MARKETCOLLATERALCOMMODITYCOMMUNITY DEVELOPMENTCOMPETITIVENESSCONTRIBUTIONCREDIT ACCESSDIVERSIFICATIONDROUGHTDROUGHTSECONOMIC DEVELOPMENTECONOMIC EFFECTSECONOMIES IN TRANSITIONEMPLOYMENTEQUALIZATIONEXPENDITUREEXPENDITURESFINANCIAL MARKETFINANCIAL MARKET DEVELOPMENTFINANCIAL SUPPORTHOUSEHOLD INCOMEHOUSEHOLDSIMPERFECT CREDITINCOMEINCOME LEVELSINCOME SOURCESINCOMESINFLATIONINHERITANCEINSURANCELABOR MARKETLABOR MARKETSLAND PRICESLAND REFORMLAND SALESLAND SUPPLYLAND USELAND VALUELEGISLATIONLIFETIMELIVING STANDARDSLOCAL GOVERNMENTLOW-INCOMEMARKET ACCESSMARKET DEVELOPMENTMARKET LIBERALIZATIONMARKET PARTICIPANTSMARKET RESTRICTIONSMIGRATIONOTHER ASSETSPOINTSPRESENT VALUEPROBABILITYPRODUCTIVITYPROFITABILITYPROPERTY RIGHTSPURCHASESPURCHASINGREAL ESTATERESOURCE ALLOCATIONRISKY ASSETSSAFETY NETSAFETY NETSSAHELSALARYSALESALESSAVINGSSAVINGS INSTRUMENTSSELF EMPLOYMENTSELF-EMPLOYMENTSOCIAL WELFARESOUTH ASIANSUBSTITUTESTENANTSTRANSACTIONTRANSACTION COSTSURBAN DEVELOPMENTVALUATIONWAGEWORTHWorld Bank10.1596/1813-9450-4323