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![Page 1: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/1.jpg)
Economic Impacts of LTPR Programming
Property Rights and Resource Governance Issues and Best Practices
Benjamin LinkowOctober 2011
![Page 2: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/2.jpg)
Economic Impacts of (some) LTPR Programming
1.Economic logic of LTPR interventions to improve security of tenure
• How do LTPR interventions lead to rising incomes and economic growth?
2.Existing evidence on economic impacts of LTPR interventions to improve security of tenure
![Page 3: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/3.jpg)
Economic Logic of (some) Land Tenure Interventions
-Interven-tions to improve tenure
security
-Reduced risk of
expropriation
-Reduced risk of land
conflict
-Facilitation of land
transactions
-Investme
nt outcome
s
-Economic outcomes related to trans-actions
… end result: rising ag. productivity, household incomes, economic growth
![Page 4: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/4.jpg)
Economic Logic of Land Tenure Interventions
-Interven-tions to improve tenure
security
-Reduced risk of
expropriation
-Reduced risk of land
conflict
-Facilitation of land
transactions
-Investme
nt outcome
s
-Economic outcomes related to trans-actions
![Page 5: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/5.jpg)
Examples of Interventions to Improve Tenure Security
• Participatory community land use planning/boundary demarcation
• Documentation of land rights (certification, titling)
• Institutional reforms/improvements• More efficient and responsive land
adminstration• More effective/streamlined dispute
resolution processes
• Legal education/outreach
![Page 6: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/6.jpg)
Economic Logic of Land Tenure Interventions
-Interven-tions to improve tenure
security
-Reduced risk of
expropriation
-Reduced risk of land
conflict
-Facilitation of land
transactions
-Investme
nt outcome
s
-Economic outcomes related to trans-actions
![Page 7: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/7.jpg)
Economic Logic of Land Tenure Interventions• Reduced risk of land expropriation
• Government• Traditional authorities• Others
• Reduced risk of land conflict• Challenges to land claims• Inheritance disputes• Conflicts with pastoralists
• Facilitation of transactions• Sales, rental markets• But not always focus of interventions
![Page 8: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/8.jpg)
Economic Logic of Land Tenure Interventions
-Interven-tions to improve tenure
security
-Reduced risk of
expropriation
-Reduced risk of land
conflict
-Facilitation of land
transactions
-Investme
nt outcome
s
-Economic outcomes related to trans-actions
![Page 9: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/9.jpg)
Increased Investment Incentives• Lower risk especially to investments that
pay off over time• Soil conservation / fallowing• High value crops, esp. tree crops • Fixed investments in land (wells, small-scale
irrigation)
• Resources used to defend land claims can be redirected to productive use• Labor• Less productive trees
• Ability to recoup cost of investments through sales
![Page 10: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/10.jpg)
Outcomes Related to Transactions• More efficient land distribution
• Producers can adjust to optimum scale• Reduced risk of conflict => increased
willingness to rent out
• Land titles can be used as collateral to obtain loans• Idea popularized by de Soto’s Mystery of
Capital• But often problematic in practice:
• Ownership must be freely transferable
• Financial institutions not always there to fill gap
![Page 11: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/11.jpg)
Caveats• This framework does not reflect all
LTPR programs
• Non-economic benefits may also be a justification
• In practice, timeframe for realizing benefits can be long
![Page 12: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/12.jpg)
Economic Impacts of (some) LTPR Programming
1.Economic logic of LTPR interventions to improve security of tenure
• How do LTPR interventions lead to rising incomes and economic growth?
2.Existing evidence on economic impacts of LTPR interventions to improve security of tenure
![Page 13: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/13.jpg)
Existing evidence• LTPR impact evaluation is an under-
researched area
• Titling programs of the 70s and 80s- little economic impact
![Page 14: Economic Impacts of LTPR Programming Property Rights and Resource Governance Issues and Best Practices Benjamin Linkow October 2011.](https://reader035.fdocuments.in/reader035/viewer/2022062401/5a4d1b1d7f8b9ab059994237/html5/thumbnails/14.jpg)
Existing evidence•Recent research shows more promising outcomes
• Deininger and Castagnini (2006): resolving ongoing land disputes in Uganda would increase agricultural production by 5-11%
• Holden et. al. (2009): Land certificates cause farmers to be 40% more productive in Ethiopia
•Indirect evidence: varying configurations of land rights can have significant economic implications
• Smith (2004): Stronger land rights lead to increased productivity, cotton adoption in Zambia
• Goldstein and Udry (2010): Less politically connected farmers in Ghana are less likely to fallow their land and experience lower productivity as a result