Rural Land Markets Notes - Applied Economics 8703 Lecture#4 Rural Land Markets in Developing Countries(Part I I Introduction In rural areas of

Rural Land Markets Notes - Applied Economics 8703 Lecture#4...

This preview shows page 1 - 4 out of 25 pages.

Applied Economics 8703: Lecture #4 Rural Land Markets in Developing Countries (Part I) I. Introduction In rural areas of developing countries, land is: The most important productive asset (with the possible exception of labor) Often the most important form of wealth The main way parents pass wealth to children Land use patterns and land rights (ownership & rental rights) evolve slowly over centuries. Yet sometimes quick changes result from government policies. The evolution of land rights over time is influenced by: population density (very low densities imply that much land is available, so there is little need to set up a system of private ownership) technological progress (improved farming technologies raise the marginal product of land and thus raise its value, which increases the need for clear property rights) 1
Image of page 1