Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms

Although transfer of agricultural land ownership through land reform had positive impacts on productivity, investment, and political empowerment in many cases, institutional arrangements in West Bengal -- which made tenancy heritable and imposed a...

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Main Authors: Deininger, Klaus, Jin, Songqing, Yadav, Vandana
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2013
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2012/12/17066318/sharecropping-affect-productivity-long-term-investment-evidence-west-bengal s-tenancy-reforms
http://hdl.handle.net/10986/12185
id okr-10986-12185
recordtype oai_dc
spelling okr-10986-121852021-04-23T14:03:05Z Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms Deininger, Klaus Jin, Songqing Yadav, Vandana ACCOUNTING ADVERSE SELECTION AGRARIAN REFORM AGRICULTURAL LAND AGRICULTURE BARGAINING BARGAINING POWER BENEFICIARIES BORROWING CAPITAL STOCK CLAIMANTS CONTRACT ENFORCEMENT CONTRACTUAL ARRANGEMENTS CONTRACTUAL RELATIONSHIPS CREDIT ACCESS CREDIT CONSTRAINTS CREDIT MARKET CREDIT MARKETS CREDIT RATIONING DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY ECONOMETRIC ANALYSIS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC PERFORMANCE ECONOMICS ECONOMIES OF SCOPE ELASTICITY EMPLOYMENT EMPLOYMENT OPPORTUNITIES EQUIPMENT FAMILY LABOR FINANCIAL SUPPORT FIXED EFFECT MODEL GENERAL EQUILIBRIUM HOUSEHOLD FIXED EFFECT HOUSEHOLD FIXED EFFECTS HOUSEHOLDS HOUSES HUMAN DEVELOPMENT INCOME INEFFICIENCY INSTITUTIONAL CREDIT INSTITUTIONAL DEVELOPMENT INSURANCE INSURANCE MARKETS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INVESTMENT DECISION INVESTMENT DECISIONS ISSUANCE LAND OWNERSHIP LAND POLICIES LAND PRICES LAND REFORM LAND REFORMS LAND TENURE LAND USE LAND VALUES LANDLORDS LEASE AGREEMENTS LEASES LEASING LEGAL CONSTRAINTS LEGAL RIGHTS LIMITED LIABILITY LOCAL GOVERNMENT LONG-TERM INVESTMENT LONG-TERM INVESTMENTS MARGINAL BENEFITS MARKET OPERATION MARKET TRANSACTIONS MORAL HAZARD MOTIVATION OPPORTUNITY COST OUTPUT LOSS PERFECT INFORMATION POINTS POLITICAL ECONOMY POLITICAL ECONOMY OF DEVELOPMENT POLITICAL POWER PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY GROWTH PRODUCTIVITY INCREASES PROPERTY RIGHTS PUBLIC FINANCE RENTS RISK AVERSE SAVINGS SIDE EFFECTS TENANTS TOTAL OUTPUT TRANSACTION TRANSACTION COSTS TRANSFER OF PROPERTY RIGHTS WEALTH Although transfer of agricultural land ownership through land reform had positive impacts on productivity, investment, and political empowerment in many cases, institutional arrangements in West Bengal -- which made tenancy heritable and imposed a prohibition on subleasing -- imply that early land reform benefits may not be sustained and gains from this policy remain well below potential. Data from a listing of 96,000 households in 200 villages, complemented by a detailed survey of 1,800 owner-cum tenants, point toward binding policy constraints and large contemporaneous inefficiency of share tenancy that is exacerbated by strong disincentives to investment. A conservative estimate puts the efficiency losses from such arrangements in any period at 25 percent. 2013-01-28T22:58:33Z 2013-01-28T22:58:33Z 2012-12 http://documents.worldbank.org/curated/en/2012/12/17066318/sharecropping-affect-productivity-long-term-investment-evidence-west-bengal s-tenancy-reforms http://hdl.handle.net/10986/12185 English en_US Policy Research Working Paper; No. 6293 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research South Asia India
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACCOUNTING
ADVERSE SELECTION
AGRARIAN REFORM
AGRICULTURAL LAND
AGRICULTURE
BARGAINING
BARGAINING POWER
BENEFICIARIES
BORROWING
CAPITAL STOCK
CLAIMANTS
CONTRACT ENFORCEMENT
CONTRACTUAL ARRANGEMENTS
CONTRACTUAL RELATIONSHIPS
CREDIT ACCESS
CREDIT CONSTRAINTS
CREDIT MARKET
CREDIT MARKETS
CREDIT RATIONING
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
ECONOMETRIC ANALYSIS
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC PERFORMANCE
ECONOMICS
ECONOMIES OF SCOPE
ELASTICITY
EMPLOYMENT
EMPLOYMENT OPPORTUNITIES
EQUIPMENT
FAMILY LABOR
FINANCIAL SUPPORT
FIXED EFFECT MODEL
GENERAL EQUILIBRIUM
HOUSEHOLD FIXED EFFECT
HOUSEHOLD FIXED EFFECTS
HOUSEHOLDS
HOUSES
HUMAN DEVELOPMENT
INCOME
INEFFICIENCY
INSTITUTIONAL CREDIT
INSTITUTIONAL DEVELOPMENT
INSURANCE
INSURANCE MARKETS
INTERNATIONAL BANK
INTERNATIONAL DEVELOPMENT
INVESTMENT DECISION
INVESTMENT DECISIONS
ISSUANCE
LAND OWNERSHIP
LAND POLICIES
LAND PRICES
LAND REFORM
LAND REFORMS
LAND TENURE
LAND USE
LAND VALUES
LANDLORDS
LEASE AGREEMENTS
LEASES
LEASING
LEGAL CONSTRAINTS
LEGAL RIGHTS
LIMITED LIABILITY
LOCAL GOVERNMENT
LONG-TERM INVESTMENT
LONG-TERM INVESTMENTS
MARGINAL BENEFITS
MARKET OPERATION
MARKET TRANSACTIONS
MORAL HAZARD
MOTIVATION
OPPORTUNITY COST
OUTPUT LOSS
PERFECT INFORMATION
POINTS
POLITICAL ECONOMY
POLITICAL ECONOMY OF DEVELOPMENT
POLITICAL POWER
PRODUCTION FUNCTION
PRODUCTIVITY
PRODUCTIVITY GROWTH
PRODUCTIVITY INCREASES
PROPERTY RIGHTS
PUBLIC FINANCE
RENTS
RISK AVERSE
SAVINGS
SIDE EFFECTS
TENANTS
TOTAL OUTPUT
TRANSACTION
TRANSACTION COSTS
TRANSFER OF PROPERTY RIGHTS
WEALTH
spellingShingle ACCOUNTING
ADVERSE SELECTION
AGRARIAN REFORM
AGRICULTURAL LAND
AGRICULTURE
BARGAINING
BARGAINING POWER
BENEFICIARIES
BORROWING
CAPITAL STOCK
CLAIMANTS
CONTRACT ENFORCEMENT
CONTRACTUAL ARRANGEMENTS
CONTRACTUAL RELATIONSHIPS
CREDIT ACCESS
CREDIT CONSTRAINTS
CREDIT MARKET
CREDIT MARKETS
CREDIT RATIONING
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
ECONOMETRIC ANALYSIS
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC PERFORMANCE
ECONOMICS
ECONOMIES OF SCOPE
ELASTICITY
EMPLOYMENT
EMPLOYMENT OPPORTUNITIES
EQUIPMENT
FAMILY LABOR
FINANCIAL SUPPORT
FIXED EFFECT MODEL
GENERAL EQUILIBRIUM
HOUSEHOLD FIXED EFFECT
HOUSEHOLD FIXED EFFECTS
HOUSEHOLDS
HOUSES
HUMAN DEVELOPMENT
INCOME
INEFFICIENCY
INSTITUTIONAL CREDIT
INSTITUTIONAL DEVELOPMENT
INSURANCE
INSURANCE MARKETS
INTERNATIONAL BANK
INTERNATIONAL DEVELOPMENT
INVESTMENT DECISION
INVESTMENT DECISIONS
ISSUANCE
LAND OWNERSHIP
LAND POLICIES
LAND PRICES
LAND REFORM
LAND REFORMS
LAND TENURE
LAND USE
LAND VALUES
LANDLORDS
LEASE AGREEMENTS
LEASES
LEASING
LEGAL CONSTRAINTS
LEGAL RIGHTS
LIMITED LIABILITY
LOCAL GOVERNMENT
LONG-TERM INVESTMENT
LONG-TERM INVESTMENTS
MARGINAL BENEFITS
MARKET OPERATION
MARKET TRANSACTIONS
MORAL HAZARD
MOTIVATION
OPPORTUNITY COST
OUTPUT LOSS
PERFECT INFORMATION
POINTS
POLITICAL ECONOMY
POLITICAL ECONOMY OF DEVELOPMENT
POLITICAL POWER
PRODUCTION FUNCTION
PRODUCTIVITY
PRODUCTIVITY GROWTH
PRODUCTIVITY INCREASES
PROPERTY RIGHTS
PUBLIC FINANCE
RENTS
RISK AVERSE
SAVINGS
SIDE EFFECTS
TENANTS
TOTAL OUTPUT
TRANSACTION
TRANSACTION COSTS
TRANSFER OF PROPERTY RIGHTS
WEALTH
Deininger, Klaus
Jin, Songqing
Yadav, Vandana
Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
geographic_facet South Asia
India
relation Policy Research Working Paper; No. 6293
description Although transfer of agricultural land ownership through land reform had positive impacts on productivity, investment, and political empowerment in many cases, institutional arrangements in West Bengal -- which made tenancy heritable and imposed a prohibition on subleasing -- imply that early land reform benefits may not be sustained and gains from this policy remain well below potential. Data from a listing of 96,000 households in 200 villages, complemented by a detailed survey of 1,800 owner-cum tenants, point toward binding policy constraints and large contemporaneous inefficiency of share tenancy that is exacerbated by strong disincentives to investment. A conservative estimate puts the efficiency losses from such arrangements in any period at 25 percent.
format Publications & Research :: Policy Research Working Paper
author Deininger, Klaus
Jin, Songqing
Yadav, Vandana
author_facet Deininger, Klaus
Jin, Songqing
Yadav, Vandana
author_sort Deininger, Klaus
title Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
title_short Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
title_full Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
title_fullStr Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
title_full_unstemmed Does Sharecropping Affect Productivity and Long-Term Investment? Evidence from West Bengal’s Tenancy Reforms
title_sort does sharecropping affect productivity and long-term investment? evidence from west bengal’s tenancy reforms
publisher World Bank, Washington, DC
publishDate 2013
url http://documents.worldbank.org/curated/en/2012/12/17066318/sharecropping-affect-productivity-long-term-investment-evidence-west-bengal s-tenancy-reforms
http://hdl.handle.net/10986/12185
_version_ 1764422177992474624