IDEAS home Printed from https://ideas.repec.org/p/zbw/bofitp/bdp2016_017.html
   My bibliography  Save this paper

Land rights, rental markets and the post-socialist cityscape

Author

Listed:
  • Castañeda Dower, Paul
  • Pyle, William

Abstract

Inefficiently organized, factory-dominated cityscapes have been one of the more enduring legacies of the twentieth century experiment with socialist central planning in Eastern Europe and the Soviet Union. Drawing on a unique survey of large, formerly state-owned urban industrial firms in Russia, we explore how land tenure reforms affect the pace at which this legacy is being erased. Specifically, the privatization of plots is shown to promote the development of a rental market that transfers land use rights away from socialist-era industrial users. We address the potential endogeneity of land tenure in two ways, including using a measure of regional variation in urban land policy as an instrumental variable.

Suggested Citation

  • Castañeda Dower, Paul & Pyle, William, 2016. "Land rights, rental markets and the post-socialist cityscape," BOFIT Discussion Papers 17/2016, Bank of Finland Institute for Emerging Economies (BOFIT).
    • Handle: RePEc:zbw:bofitp:bdp2016_017
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/212860/1/bofit-dp2016-017.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Alexei Karas & William Pyle & Koen Schoors, 2015. "A "de Soto Effect" in Industry? Evidence from the Russian Federation," Journal of Law and Economics, University of Chicago Press, vol. 58(2), pages 451-480.
    2. Solé-Ollé, Albert & Viladecans-Marsal, Elisabet, 2013. "Do political parties matter for local land use policies?," Journal of Urban Economics, Elsevier, vol. 78(C), pages 42-56.
    3. Saul Estrin & Jan Hanousek & Evzen Kocenda & Jan Svejnar, 2009. "The Effects of Privatization and Ownership in Transition Economies," Journal of Economic Literature, American Economic Association, vol. 47(3), pages 699-728, September.
    4. Klaus Deininger & Songqing Jin, 2008. "Land Sales and Rental Markets in Transition: Evidence from Rural Vietnam," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 70(1), pages 67-101, February.
    5. Timothy J. Besley & Konrad B. Burchardi & Maitreesh Ghatak, 2012. "Incentives and the De Soto Effect," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 127(1), pages 237-282.
    6. Malpezzi, Stephen, 1999. "Economic analysis of housing markets in developing and transition economies," Handbook of Regional and Urban Economics, in: P. C. Cheshire & E. S. Mills (ed.), Handbook of Regional and Urban Economics, edition 1, volume 3, chapter 44, pages 1791-1864, Elsevier.
    7. Bertaud, Alain & Renaud, Bertrand, 1997. "Socialist Cities without Land Markets," Journal of Urban Economics, Elsevier, vol. 41(1), pages 137-151, January.
    8. Kowalski, Joseph G. & Paraskevopoulos, Christos C., 1990. "The impact of location on urban industrial land prices," Journal of Urban Economics, Elsevier, vol. 27(1), pages 16-24, January.
    9. Shingo Kimura & Keijiro Otsuka & Tetsushi Sonobe & Scott Rozelle, 2011. "Efficiency of Land Allocation through Tenancy Markets: Evidence from China," Economic Development and Cultural Change, University of Chicago Press, vol. 59(3), pages 485-510.
    10. Dani Rodrik, 2014. "When Ideas Trump Interests: Preferences, Worldviews, and Policy Innovations," Journal of Economic Perspectives, American Economic Association, vol. 28(1), pages 189-208, Winter.
    11. Lichtenberg, Erik & Ding, Chengri, 2009. "Local officials as land developers: Urban spatial expansion in China," Journal of Urban Economics, Elsevier, vol. 66(1), pages 57-64, July.
    12. Shing-Yi Wang, 2011. "State Misallocation and Housing Prices: Theory and Evidence from China," American Economic Review, American Economic Association, vol. 101(5), pages 2081-2107, August.
    13. Russell Muir & Xiaofang Shen, 2005. "Land Markets : Promoting the Private Sector by Improving Access to Land," World Bank Publications - Reports 11203, The World Bank Group.
    14. Kisunko, Gregory & Coolidge, Jacqueline, 2007. "Survey of land and real estate transactions in the Russian Federation : statistical analysis of selected hypotheses," Policy Research Working Paper Series 4115, The World Bank.
    15. Paul Castaneda Dower & Egor Malkov & Leonid Polishchuk & William Pyle, 2015. "Costs and Benefits of Land Ownership: The Case of Russian Firms," HSE Working papers WP BRP 107/EC/2015, National Research University Higher School of Economics.
    16. Carol S. Leonard & Zafar Nazarov & Irina Il'ina, 2019. "Property rights in land and output growth in Russia : Expansion periods 2001–08 and 2010–14," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 27(1), pages 139-162, 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. Zhou, Di & Hu, Yanning & Xie, Dongchun & Sun, Qiong, 2023. "Land resource mismatch and energy efficiency: Evidence from 243 cities in China," Energy Policy, Elsevier, vol. 183(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. Alexei Karas & William Pyle & Koen Schoors, 2015. "A "de Soto Effect" in Industry? Evidence from the Russian Federation," Journal of Law and Economics, University of Chicago Press, vol. 58(2), pages 451-480.
    2. Anglin, Paul M. & Dale-Johnson, David & Gao, Yanmin & Zhu, Guozhong, 2014. "Patterns of growth in Chinese cities: Implications of the land lease," Journal of Urban Economics, Elsevier, vol. 83(C), pages 87-107.
    3. Nicolas De Vijlder & Koen Schoors, 2019. "Land Rights, Local Financial Development And Industrial Activity: Evidence From Flanders (19th – Early 20th Century)," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 19/962, Ghent University, Faculty of Economics and Business Administration.
    4. Jipeng Zhang & Jianyong Fan & Jiawei Mo, 2017. "Government Intervention, Land Market, And Urban Development: Evidence From Chinese Cities," Economic Inquiry, Western Economic Association International, vol. 55(1), pages 115-136, January.
    5. Ayala-Cantu, Luciano & Morando, Bruno, 2020. "Rental markets, gender, and land certificates: Evidence from Vietnam," Food Policy, Elsevier, vol. 94(C).
    6. Kemper, Niels & Ha, Luu Viet & Klump, Rainer, 2015. "Property Rights and Consumption Volatility: Evidence from a Land Reform in Vietnam," World Development, Elsevier, vol. 71(C), pages 107-130.
    7. Luciano Ayala-cantu & Bruno Morando, 2018. "Rental markets, gender, and land certificates: Evidence from Vietnam," WIDER Working Paper Series 96, World Institute for Development Economic Research (UNU-WIDER).
    8. Oleksandr Shepotylo, 2012. "Cities in Transition," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 54(3), pages 661-688, September.
    9. Muraoka, Rie & Jin, Songqing & Jayne, T.S., 2018. "Land access, land rental and food security: Evidence from Kenya," Land Use Policy, Elsevier, vol. 70(C), pages 611-622.
    10. Guriev, Sergei & Cheremukhin, Anton & Golosov, Mikhail & Tsyvinski, Aleh, 2015. "The Economy of People’s Republic of China from 1953," CEPR Discussion Papers 10764, C.E.P.R. Discussion Papers.
    11. Che, Yi, 2009. "Mismatch: land reallocations, recovery land rental and land rental market development in rural China," MPRA Paper 39794, University Library of Munich, Germany.
    12. Anton Cheremukhin & Mikhail Golosov & Sergei Guriev & Aleh Tsyvinski, 2015. "The Economy of People’s Republic of China from 1953," NBER Working Papers 21397, National Bureau of Economic Research, Inc.
    13. Nicolas Devijlder & Koen Schoors, 2020. "Land rights, local financial development and industrial activity: evidence from Flanders (nineteenth–early twentieth century)," Cliometrica, Springer;Cliometric Society (Association Francaise de Cliométrie), vol. 14(3), pages 507-550, September.
    14. Buckley, Robert M. & Kalarickal, Jerry, 2004. "Shelter strategies for the urban poor : idiosyncratic and successful, but hardly mysterious," Policy Research Working Paper Series 3427, The World Bank.
    15. Li Fang & Chuanhao Tian & Xiaohong Yin & Yan Song, 2018. "Political Cycles and the Mix of Industrial and Residential Land Leasing," Sustainability, MDPI, vol. 10(9), pages 1-24, August.
    16. Licheng Xu & Xiaodong Du, 2022. "Land certification, rental market participation, and household welfare in rural China," Agricultural Economics, International Association of Agricultural Economists, vol. 53(1), pages 52-71, January.
    17. Paul Castaneda Dower & Egor Malkov & Leonid Polishchuk & William Pyle, 2015. "Costs and Benefits of Land Ownership: The Case of Russian Firms," HSE Working papers WP BRP 107/EC/2015, National Research University Higher School of Economics.
    18. Stephen Malpezzi, 2000. "Tales from the Real Side: The Implications of Urban Research for Real Estate Finance in Developing and Transition Economies," Wisconsin-Madison CULER working papers 01-02, University of Wisconsin Center for Urban Land Economic Research.
    19. Peng Yao & Qi Jia & Jianxu Liu & Woraphon Yamaka, 2022. "Reform of Collective Land for Construction and Rental Housing and the Growth of Farmers’ Property Income: Evidence from China," Land, MDPI, vol. 12(1), pages 1-19, December.
    20. Aragón, Fernando M., 2015. "Do better property rights improve local income?: Evidence from First Nations' treaties," Journal of Development Economics, Elsevier, vol. 116(C), pages 43-56.

    More about this item

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • P26 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Property Rights
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns

    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:zbw:bofitp:bdp2016_017. 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: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/bofitfi.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.