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Land sales and rental markets in transition - evidence from rural Viet Nam, Volume 1
Author:Deininger, Klaus; Songqing Jin; Country:Vietnam;
Date Stored:2003/05/23Document Date:2003/04/30
Document Type:Policy Research Working PaperSubTopics:Environmental Economics & Policies; Agribusiness & Markets; Land Use and Policies; Banks & Banking Reform; Municipal Financial Management; Rural Land Policies for Poverty Reduction
Language:EnglishRegion:East Asia and Pacific
Report Number:WPS3013Sub Sectors:Housing finance; General public administration sector
Collection Title:Policy, Research working paper ; no. WPS 3013Volume No:1

Summary: The extent to which households should be allowed to transfer their land rights in post-socialist transition economies is of considerable policy interest. The authors use data from Vietnam, a transition country that allows rental and sales of land use rights, to identify factors conducive to the development of land markets and to assess the extent to which land transfers enhance productive efficiency and transfer land to the poor. They find that activity in both rental and sales markets has increased rapidly, enhanced by the possession of long-term use rights and off-farm employment, and contributing to greater equity and efficiency of land use. While there is evidence for distress sales by households that experience a shock (death), the scope for such sales is reduced by well-functioning credit markets. Well-defined land rights and appropriate safety nets will thus help transition economies to realize the benefits from the operation of land markets.

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