Communal Land and Agricultural Productivity

Charles Gottlieb (charles.gottlieb@unisg.ch) and Jan Grobovsek (jan.grobovsek@ed.ac.uk)

No 1513, Discussion Papers from Centre for Macroeconomics (CFM)

Abstract: Communal land tenure regimes are perceived as an obstacle to agricultural productivity in Sub-Saharan Africa. Our general equilibrium selection model suggests that such land tenure arrangements can indeed lower nominal productivity in agriculture relative to non-agriculture, by some 25%. Real agricultural productivity, employment and GDP, however, are only marginally affected. Highly distortionary policies need not have substantial bite when individuals strategically respond and cross-sectoral terms of trade adjust strongly. Our model, calibrated to Ethiopia, predicts that at given prices 62% of farmers would leave farming if tenure were secured, yet only 9% actually switch sectors after factoring in price adjustments.

Keywords: Agricultural Productivity; Growth and Development; Misallocation; Land (search for similar items in EconPapers)
JEL-codes: O10 O13 O40 O55 Q15 (search for similar items in EconPapers)
Pages: 50 pages
Date: 2015-06
New Economics Papers: this item is included in nep-agr and nep-eff
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (15)

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Related works:
Journal Article: Communal land and agricultural productivity (2019)
Working Paper: Communal Land and Agricultural Productivity (2016)
Working Paper: Communal land and agricultural productivity (2015)
Working Paper: Communal Land and Agricultural Productivity (2015)
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