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

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...

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Main Authors: Ali, Daniel Ayalew, Dercon, Stefan, Gautam, Madhur
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2007/09/8340484/property-rights-very-poor-country-tenure-insecurity-investment-ethiopia
http://hdl.handle.net/10986/7361
id okr-10986-7361
recordtype oai_dc
spelling okr-10986-73612021-04-23T14:02:34Z Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia Ali, Daniel Ayalew Dercon, Stefan Gautam, Madhur AGENTS AGRICULTURAL ECONOMICS AGRICULTURAL LAND AGRICULTURAL PRODUCTION AGRICULTURAL PRODUCTIVITY AGRICULTURE ALLOCATION OF LAND APPROPRIATION CLIENT COUNTRIES COMPENSATION CROPS CULTIVATION DROUGHT EROSION EUCALYPTUS EXTERNALITIES FARMERS FARMS FIREWOOD HAZARD HETEROGENEITY HOUSEHOLDS INCOMES LAND ALLOCATION LAND DEGRADATION LAND ECONOMICS LAND HOLDINGS LAND LEASE LAND MANAGEMENT LAND MARKET LAND OWNERSHIP LAND POLICY LAND PRODUCTIVITY LAND QUALITY LAND REFORM LAND RIGHT LAND RIGHTS LAND TENURE LAND TENURE SECURITY LAND TENURE SYSTEMS LAND TITLING LANDS LEASING LIVESTOCK NATURAL RESOURCE NATURAL RESOURCE MANAGEMENT NATURAL RESOURCES PLANTING POINTS PRIVATE OWNERSHIP PROPERTY RIGHTS ROUTE ROUTES RURAL AREAS RURAL DEVELOPMENT SECURE PROPERTY RIGHTS SOIL SOIL CONSERVATION SOIL EROSION SOIL FERTILITY SUB-SAHARAN AFRICA TENURE TREES URBAN DEVELOPMENT VILLAGES WOODLOTS 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. 2012-06-06T21:50:59Z 2012-06-06T21:50:59Z 2007-09 http://documents.worldbank.org/curated/en/2007/09/8340484/property-rights-very-poor-country-tenure-insecurity-investment-ethiopia http://hdl.handle.net/10986/7361 English Policy Research Working Paper; No. 4363 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa Ethiopia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic AGENTS
AGRICULTURAL ECONOMICS
AGRICULTURAL LAND
AGRICULTURAL PRODUCTION
AGRICULTURAL PRODUCTIVITY
AGRICULTURE
ALLOCATION OF LAND
APPROPRIATION
CLIENT COUNTRIES
COMPENSATION
CROPS
CULTIVATION
DROUGHT
EROSION
EUCALYPTUS
EXTERNALITIES
FARMERS
FARMS
FIREWOOD
HAZARD
HETEROGENEITY
HOUSEHOLDS
INCOMES
LAND ALLOCATION
LAND DEGRADATION
LAND ECONOMICS
LAND HOLDINGS
LAND LEASE
LAND MANAGEMENT
LAND MARKET
LAND OWNERSHIP
LAND POLICY
LAND PRODUCTIVITY
LAND QUALITY
LAND REFORM
LAND RIGHT
LAND RIGHTS
LAND TENURE
LAND TENURE SECURITY
LAND TENURE SYSTEMS
LAND TITLING
LANDS
LEASING
LIVESTOCK
NATURAL RESOURCE
NATURAL RESOURCE MANAGEMENT
NATURAL RESOURCES
PLANTING
POINTS
PRIVATE OWNERSHIP
PROPERTY RIGHTS
ROUTE
ROUTES
RURAL AREAS
RURAL DEVELOPMENT
SECURE PROPERTY RIGHTS
SOIL
SOIL CONSERVATION
SOIL EROSION
SOIL FERTILITY
SUB-SAHARAN AFRICA
TENURE
TREES
URBAN DEVELOPMENT
VILLAGES
WOODLOTS
spellingShingle AGENTS
AGRICULTURAL ECONOMICS
AGRICULTURAL LAND
AGRICULTURAL PRODUCTION
AGRICULTURAL PRODUCTIVITY
AGRICULTURE
ALLOCATION OF LAND
APPROPRIATION
CLIENT COUNTRIES
COMPENSATION
CROPS
CULTIVATION
DROUGHT
EROSION
EUCALYPTUS
EXTERNALITIES
FARMERS
FARMS
FIREWOOD
HAZARD
HETEROGENEITY
HOUSEHOLDS
INCOMES
LAND ALLOCATION
LAND DEGRADATION
LAND ECONOMICS
LAND HOLDINGS
LAND LEASE
LAND MANAGEMENT
LAND MARKET
LAND OWNERSHIP
LAND POLICY
LAND PRODUCTIVITY
LAND QUALITY
LAND REFORM
LAND RIGHT
LAND RIGHTS
LAND TENURE
LAND TENURE SECURITY
LAND TENURE SYSTEMS
LAND TITLING
LANDS
LEASING
LIVESTOCK
NATURAL RESOURCE
NATURAL RESOURCE MANAGEMENT
NATURAL RESOURCES
PLANTING
POINTS
PRIVATE OWNERSHIP
PROPERTY RIGHTS
ROUTE
ROUTES
RURAL AREAS
RURAL DEVELOPMENT
SECURE PROPERTY RIGHTS
SOIL
SOIL CONSERVATION
SOIL EROSION
SOIL FERTILITY
SUB-SAHARAN AFRICA
TENURE
TREES
URBAN DEVELOPMENT
VILLAGES
WOODLOTS
Ali, Daniel Ayalew
Dercon, Stefan
Gautam, Madhur
Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
geographic_facet Africa
Ethiopia
relation Policy Research Working Paper; No. 4363
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.
format Publications & Research :: Policy Research Working Paper
author Ali, Daniel Ayalew
Dercon, Stefan
Gautam, Madhur
author_facet Ali, Daniel Ayalew
Dercon, Stefan
Gautam, Madhur
author_sort Ali, Daniel Ayalew
title Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
title_short Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
title_full Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
title_fullStr Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
title_full_unstemmed Property Rights in a Very Poor Country : Tenure Insecurity and Investment in Ethiopia
title_sort property rights in a very poor country : tenure insecurity and investment in ethiopia
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2007/09/8340484/property-rights-very-poor-country-tenure-insecurity-investment-ethiopia
http://hdl.handle.net/10986/7361
_version_ 1764402407207337984