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Impacts of Low‐Cost Land Certification on Investment and Productivity
Author(s) -
Holden Stein T.,
Deininger Klaus,
Ghebru Hosaena
Publication year - 2009
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.1111/j.1467-8276.2008.01241.x
Subject(s) - endogeneity , productivity , investment (military) , certification , agricultural economics , panel data , economics , natural resource economics , business , land use , economic growth , econometrics , civil engineering , management , engineering , politics , political science , law
New land reforms are again high on the policy agenda and low‐cost, propoor reforms are being tested in poor countries. This article assesses the investment and productivity impacts of the recent low‐cost land certification implemented in the Tigray region of Ethiopia, using a unique household and farm‐plot‐level panel data set, with data from before and up to eight years after the reform. Alternative econometric methods were used to test and control for endogeneity of certification and for unobserved household heterogeneity. Significant positive impacts were found, including effects on the maintenance of soil conservation structures, investment in trees, and land productivity.