IDEAS home Printed from https://ideas.repec.org/p/bge/wpaper/1271.html
   My bibliography  Save this paper

Land Titling and Litigation

Author

Listed:
  • Benito Arruñada
  • Marco Fabbri
  • Michael Faure

Abstract

We study a large-scale land titling reform implemented as a randomized control-trial to isolate its causal effects on litigation. The reform consisted of demarcating land parcels, registering existing customary rights, and granting additional legal protection to rightholders. We find that, ten years after implementation, the reform doubled the likelihood of households experiencing land-related litigation, but disputes do not escalate into more frequent violent episodes. We suggest that this litigation increase is likely to reflect the complementarity of land titling by registration and by judicial procedures aimed at further clarifying property rights, as the reform registered titles to all parcels but left many of these titles subject to adverse claims. This raised the demand for complementary litigation aimed at perfecting titles for low value parcels which, under the customary system, it was individually optimal to keep unclarified. Consistent with this explanation, we find that the observed increase in litigation takes place among households characterized by low levels of wealth and market integration, who are likely to own land of lower value.

Suggested Citation

  • Benito Arruñada & Marco Fabbri & Michael Faure, 2021. "Land Titling and Litigation," Working Papers 1271, Barcelona School of Economics.
  • Handle: RePEc:bge:wpaper:1271
    as

    Download full text from publisher

    File URL: https://bse.eu/sites/default/files/working_paper_pdfs/1271.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Thiemo Fetzer & Samuel Marden, 2017. "Take What You Can: Property Rights, Contestability and Conflict," Economic Journal, Royal Economic Society, vol. 0(601), pages 757-783, May.
    2. Goldstein,Markus P. & Houngbedji,Kenneth & Kondylis,Florence & O'Sullivan,Michael B. & Selod,Harris, 2016. "Formalizing rural land rights in West Africa : early evidence from a randomized impact evaluation in Benin," Policy Research Working Paper Series 7435, The World Bank.
    3. Markus Goldstein & Christopher Udry, 2008. "The Profits of Power: Land Rights and Agricultural Investment in Ghana," Journal of Political Economy, University of Chicago Press, vol. 116(6), pages 981-1022, December.
    4. Peters, Pauline E., 2009. "Challenges in Land Tenure and Land Reform in Africa: Anthropological Contributions," World Development, Elsevier, vol. 37(8), pages 1317-1325, August.
    5. Richard Hornbeck, 2010. "Barbed Wire: Property Rights and Agricultural Development," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 125(2), pages 767-810.
    6. Galiani, Sebastian & Schargrodsky, Ernesto, 2010. "Property rights for the poor: Effects of land titling," Journal of Public Economics, Elsevier, vol. 94(9-10), pages 700-729, October.
    7. Jean‐Philippe Platteau, 1996. "The Evolutionary Theory of Land Rights as Applied to Sub‐Saharan Africa: A Critical Assessment," Development and Change, International Institute of Social Studies, vol. 27(1), pages 29-86, January.
    8. Klaus Deininger, 2003. "Land Policies for Growth and Poverty Reduction," World Bank Publications - Books, The World Bank Group, number 15125.
    9. Besley, Timothy & Ghatak, Maitreesh, 2010. "Property Rights and Economic Development," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4525-4595, Elsevier.
    10. Alston, Lee J. & Libecap, Gary D. & Mueller, Bernardo, 2000. "Land Reform Policies, the Sources of Violent Conflict, and Implications for Deforestation in the Brazilian Amazon," Journal of Environmental Economics and Management, Elsevier, vol. 39(2), pages 162-188, March.
    11. Gary D. Libecap & Dean Lueck, 2011. "The Demarcation of Land and the Role of Coordinating Property Institutions," Journal of Political Economy, University of Chicago Press, vol. 119(3), pages 426-467.
    12. Ali, Daniel Ayalew & Deininger, Klaus & Goldstein, Markus, 2014. "Environmental and gender impacts of land tenure regularization in Africa: Pilot evidence from Rwanda," Journal of Development Economics, Elsevier, vol. 110(C), pages 262-275.
    13. Holden, Stein T. & Deininger, Klaus & Ghebru, Hosaena, 2011. "Can Land Rregistration and Certification Reduce Land Border Conflicts?," CLTS Working Papers 5/11, Norwegian University of Life Sciences, Centre for Land Tenure Studies, revised 10 Oct 2019.
    14. Kathryn Firmin-Sellers, 2000. "Custom, Capitalism, and the State: The Origins of Insecure Land Tenure in West Africa," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 156(3), pages 513-513, September.
    15. Deininger, Klaus & Ali, Daniel Ayalew & Holden, Stein & Zevenbergen, Jaap, 2008. "Rural Land Certification in Ethiopia: Process, Initial Impact, and Implications for Other African Countries," World Development, Elsevier, vol. 36(10), pages 1786-1812, October.
    16. Ali, Daniel Ayalew & Deininger, Klaus & Duponchel, Marguerite, 2017. "New Ways to Assess and Enhance Land Registry Sustainability: Evidence from Rwanda," World Development, Elsevier, vol. 99(C), pages 377-394.
    17. Kees Jansen & Esther Roquas, 1998. "Modernizing Insecurity: The Land Titling Project in Honduras," Development and Change, International Institute of Social Studies, vol. 29(1), pages 81-106, January.
    18. Abhijit V. Banerjee & Esther Duflo, 2007. "The Economic Lives of the Poor," Journal of Economic Perspectives, American Economic Association, vol. 21(1), pages 141-168, Winter.
    19. Thiemo Fetzer & Samuel Marden, 2017. "Take What You Can: Property Rights, Contestability and Conflict," Economic Journal, Royal Economic Society, vol. 127(601), pages 757-783.
    20. Deininger, Klaus & Castagnini, Raffaella, 2006. "Incidence and impact of land conflict in Uganda," Journal of Economic Behavior & Organization, Elsevier, vol. 60(3), pages 321-345, July.
    21. Atwood, David A., 1990. "Land registration in Africa: The impact on agricultural production," World Development, Elsevier, vol. 18(5), pages 659-671, May.
    22. Arrunada, Benito & Garoupa, Nuno, 2005. "The Choice of Titling System in Land," Journal of Law and Economics, University of Chicago Press, vol. 48(2), pages 709-727, October.
    23. Kalabamu, Faustin Tirwirukwa, 2019. "Land tenure reforms and persistence of land conflicts in Sub-Saharan Africa – The case of Botswana," Land Use Policy, Elsevier, vol. 81(C), pages 337-345.
    24. Fred-Mensah, Ben K., 1999. "Capturing Ambiguities: Communal Conflict Management Alternative in Ghana," World Development, Elsevier, vol. 27(6), pages 951-965, June.
    25. Anderson, Terry L & Hill, Peter J, 1975. "The Evolution of Property Rights: A Study of the American West," Journal of Law and Economics, University of Chicago Press, vol. 18(1), pages 163-179, April.
    26. Binswanger, Hans P. & Deininger, Klaus & Feder, Gershon, 1995. "Power, distortions, revolt and reform in agricultural land relations," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 42, pages 2659-2772, Elsevier.
    27. Fearon, James D., 1998. "Bargaining, Enforcement, and International Cooperation," International Organization, Cambridge University Press, vol. 52(2), pages 269-305, April.
    28. Erica Field, 2007. "Entitled to Work: Urban Property Rights and Labor Supply in Peru," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1561-1602.
    29. Goldstein, Markus & Houngbedji, Kenneth & Kondylis, Florence & O'Sullivan, Michael & Selod, Harris, 2018. "Formalization without certification? Experimental evidence on property rights and investment," Journal of Development Economics, Elsevier, vol. 132(C), pages 57-74.
    30. Castañeda Dower, Paul & Pfutze, Tobias, 2020. "Land titles and violent conflict in rural Mexico," Journal of Development Economics, Elsevier, vol. 144(C).
    31. Besley, Timothy, 1995. "Property Rights and Investment Incentives: Theory and Evidence from Ghana," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 903-937, October.
    32. Salvatore Di Falco & Jérémy Laurent‐Lucchetti & Marcella Veronesi & Gunnar Kohlin, 2020. "Property Rights, Land Disputes and Water Scarcity: Empirical Evidence from Ethiopia," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(1), pages 54-71, January.
    33. Andre, Catherine & Platteau, Jean-Philippe, 1998. "Land relations under unbearable stress: Rwanda caught in the Malthusian trap," Journal of Economic Behavior & Organization, Elsevier, vol. 34(1), pages 1-47, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ali, Daniel Ayalew & Deininger, Klaus, 2024. "Using registry data to assess gender-differentiated land and credit market effects of urban land policy reform: Evidence from Lesotho," World Development, Elsevier, vol. 175(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ali, Daniel Ayalew & Deininger, Klaus & Goldstein, Markus, 2014. "Environmental and gender impacts of land tenure regularization in Africa: Pilot evidence from Rwanda," Journal of Development Economics, Elsevier, vol. 110(C), pages 262-275.
    2. Ali, Daniel Ayalew & Deininger, Klaus & Mahofa, Godfrey & Nyakulama, Rhona, 2021. "Sustaining land registration benefits by addressing the challenges of reversion to informality in Rwanda," Land Use Policy, Elsevier, vol. 110(C).
    3. Fabbri, Marco, 2021. "Property rights and prosocial behavior: Evidence from a land tenure reform implemented as randomized control-trial," Journal of Economic Behavior & Organization, Elsevier, vol. 188(C), pages 552-566.
    4. Deininger, Klaus & Hilhorst, Thea & Songwe, Vera, 2014. "Identifying and addressing land governance constraints to support intensification and land market operation: Evidence from 10 African countries," Food Policy, Elsevier, vol. 48(C), pages 76-87.
    5. Salvatore Di Falco & Jérémy Laurent‐Lucchetti & Marcella Veronesi & Gunnar Kohlin, 2020. "Property Rights, Land Disputes and Water Scarcity: Empirical Evidence from Ethiopia," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(1), pages 54-71, January.
    6. Ayalew, Hailemariam & Admasu, Yeshwas & Chamberlin, Jordan, 2021. "Is land certification pro-poor? Evidence from Ethiopia," Land Use Policy, Elsevier, vol. 107(C).
    7. Dufwenberg, Martin & Köhlin, Gunnar & Martinsson, Peter & Medhin, Haileselassie, 2016. "Thanks but no thanks: A new policy to reduce land conflict," Journal of Environmental Economics and Management, Elsevier, vol. 77(C), pages 31-50.
    8. Deininger, Klaus & Xia, Fang & Kilic, Talip & Moylan, Heather, 2021. "Investment impacts of gendered land rights in customary tenure systems: Substantive and methodological insights from Malawi," World Development, Elsevier, vol. 147(C).
    9. Subramanian, Arjunan & Kumar, Parmod, 2024. "Property rights, factor allocation and household welfare: Experimental evidence from a land titling program in India," Journal of Development Economics, Elsevier, vol. 167(C).
    10. Fenske, James, 2011. "Land tenure and investment incentives: Evidence from West Africa," Journal of Development Economics, Elsevier, vol. 95(2), pages 137-156, July.
    11. Krul, Kees & Ho, Peter & Yang, Xiuyun, 2021. "Land titling as a conflict remedy or driver? Analyzing institutional outcomes through latent and manifest conflicts in China’s forest sector," Land Use Policy, Elsevier, vol. 100(C).
    12. Klaus Deininger & Daniel Ayalew Ali & Takashi Yamano, 2008. "Legal Knowledge and Economic Development: The Case of Land Rights in Uganda," Land Economics, University of Wisconsin Press, vol. 84(4), pages 593-619.
    13. Anthony Harris & Anthony D'Agostino & Sara Litke-Farzaneh & Beryl Seiler & Matt Sloan, "undated". "Morocco Land Productivity Project: Evaluation Design Report," Mathematica Policy Research Reports f3fc788501b64608b17e1cb23, Mathematica Policy Research.
    14. beg, Sabrin, 2019. "Computerization and Development: Formalizing Property Rights and its Impact on Land and Labor Allocation," MPRA Paper 96110, University Library of Munich, Germany.
    15. Meinzen-Dick, Ruth Suseela & Quisumbing, Agnes R. & Doss, Cheryl R. & Theis, Sophie, 2017. "Women’s land rights as a pathway to poverty reduction: A framework and review of available evidence," IFPRI discussion papers 1663, International Food Policy Research Institute (IFPRI).
    16. Huntington, Heather & Shenoy, Ajay, 2021. "Does insecure land tenure deter investment? Evidence from a randomized controlled trial," Journal of Development Economics, Elsevier, vol. 150(C).
    17. Goldstein, Markus & Houngbedji, Kenneth & Kondylis, Florence & O'Sullivan, Michael & Selod, Harris, 2018. "Formalization without certification? Experimental evidence on property rights and investment," Journal of Development Economics, Elsevier, vol. 132(C), pages 57-74.
    18. Aberra, Adam & Chemin, Matthieu, 2021. "Does legal representation increase investment? Evidence from a field experiment in Kenya," Journal of Development Economics, Elsevier, vol. 150(C).
    19. Xu, Huayu, 2021. "The long-term health and economic consequences of improved property rights," Journal of Public Economics, Elsevier, vol. 201(C).
    20. beg, Sabrin, 2021. "Digitization and Development: Formalizing Property Rights and its Impact on Land and Labor Allocation," MPRA Paper 108115, University Library of Munich, Germany.

    More about this item

    Keywords

    experimental survey; informal institutions; land rights formalization; land tenure reform; litigation; randomized control trial;
    All these keywords.

    JEL classification:

    • K11 - Law and Economics - - Basic Areas of Law - - - Property Law
    • K4 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bge:wpaper:1271. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Bruno Guallar (email available below). General contact details of provider: https://edirc.repec.org/data/bargses.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.