Land market distortions and aggregate agricultural productivity: Evidence from Guatemala

Farm size and land allocation are important factors in explaining lagging agricultural productivity in developing countries. This paper examines the effect of land market imperfections on land allocation across farmers and aggregate agricultural productivity. We develop a theoretical framework to mo...

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Autores principales: Britos, Braulio, Hernandez, Manuel, Robles, Miguel, Trupkin, Danilo
Formato: Artículo publishedVersion
Lenguaje:Inglés
Publicado: Instituto Interdisciplinario de Economía Política (IIEP UBA-CONICET) 2022
Materias:
Distorsiones en mercados de tierra
Ineficiencia
Productividad agrícola
Guatemala
Land market distortions
output inefficiency
agricultural productivity
Acceso en línea:https://ojs.economicas.uba.ar/DT-IIEP/article/view/2547
https://repositoriouba.sisbi.uba.ar/gsdl/cgi-bin/library.cgi?a=d&c=dociiep&d=2547_oai
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spelling I28-R145-2547_oai2026-02-09 Britos, Braulio Hernandez, Manuel Robles, Miguel Trupkin, Danilo 2022-12-05 Farm size and land allocation are important factors in explaining lagging agricultural productivity in developing countries. This paper examines the effect of land market imperfections on land allocation across farmers and aggregate agricultural productivity. We develop a theoretical framework to model the optimal size distribution of farms and assess to what extent market imperfections can explain non-optimal land allocation and output inefficiency. We measure these distortions for the case of Guatemala using agricultural census microdata. We find that due to land market imperfections aggregate output is 19% below its efficient level for both maize and beans and 31% below for coffee, which are three major crops produced nationwide. The regions with higher distortions show a higher dispersion in land prices and less active rental markets. We also find that the degree of land market distortions across locations co-variate with road accessibility and ethnicity and, in a lower extent, with education. El tamaño del establecimiento y la asignación de tierras son factores importantes para la explicación del rezago de la productividad agrícola en los países en desarrollo. Este artículo examina formalmente el efecto de las distorsiones en los mercados de tierras sobre la asignación de este factor entre productores, y sobre la productividad agrícola agregada. Desarrollamos un marco teórico para modelar la distribución óptima del tamaño de los establecimientos y argumentamos hasta qué punto las distorsiones de mercado pueden explicar tanto la asignación subóptima de tierras como la (potencial) ineficiencia en la producción. Medimos estas distorsiones para el caso de Guatemala, utilizando microdatos del censo agropecuario. Encontramos que, debido a las imperfecciones en el mercado de tierras, el producto agregado es un 19% menor que su nivel eficiente tanto para maíz como para frijoles y un 31% menor para café, los tres principales cultivos producidos a nivel nacional. Las regiones con mayores distorsiones muestran una dispersión más alta en los precios de las tierras y mercados de arrendamiento menos activos. También hallamos que el grado de distorsión entre áreas covaría con la accesibilidad vial y la etnia y, en un menor grado, con la educación. application/pdf https://ojs.economicas.uba.ar/DT-IIEP/article/view/2547 eng Instituto Interdisciplinario de Economía Política (IIEP UBA-CONICET) https://ojs.economicas.uba.ar/DT-IIEP/article/view/2547/3281 Documentos de trabajo del Instituto Interdisciplinario de Economía Política; Núm. 55 (2020): Distorsiones en los mercados de tierra y productividad agrícola agregada; 1-44 Working Papers series at Instituto Interdisciplinario de Economía Política; No. 55 (2020): Land market distortions and aggregate agricultural productivity; 1-44 2451-5728 Distorsiones en mercados de tierra Ineficiencia Productividad agrícola Guatemala Land market distortions output inefficiency agricultural productivity Guatemala Land market distortions and aggregate agricultural productivity: Evidence from Guatemala Distorsiones en los mercados de tierra y productividad agrícola agregada: Evidencia de Guatemala info:eu-repo/semantics/article info:eu-repo/semantics/publishedVersion https://repositoriouba.sisbi.uba.ar/gsdl/cgi-bin/library.cgi?a=d&c=dociiep&d=2547_oai
institution Universidad de Buenos Aires
institution_str I-28
repository_str R-145
collection Repositorio Digital de la Universidad de Buenos Aires (UBA)
language Inglés
orig_language_str_mv eng
topic Distorsiones en mercados de tierra
Ineficiencia
Productividad agrícola
Guatemala
Land market distortions
output inefficiency
agricultural productivity
Guatemala
spellingShingle Distorsiones en mercados de tierra
Ineficiencia
Productividad agrícola
Guatemala
Land market distortions
output inefficiency
agricultural productivity
Guatemala
Britos, Braulio
Hernandez, Manuel
Robles, Miguel
Trupkin, Danilo
Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
topic_facet Distorsiones en mercados de tierra
Ineficiencia
Productividad agrícola
Guatemala
Land market distortions
output inefficiency
agricultural productivity
Guatemala
description Farm size and land allocation are important factors in explaining lagging agricultural productivity in developing countries. This paper examines the effect of land market imperfections on land allocation across farmers and aggregate agricultural productivity. We develop a theoretical framework to model the optimal size distribution of farms and assess to what extent market imperfections can explain non-optimal land allocation and output inefficiency. We measure these distortions for the case of Guatemala using agricultural census microdata. We find that due to land market imperfections aggregate output is 19% below its efficient level for both maize and beans and 31% below for coffee, which are three major crops produced nationwide. The regions with higher distortions show a higher dispersion in land prices and less active rental markets. We also find that the degree of land market distortions across locations co-variate with road accessibility and ethnicity and, in a lower extent, with education.
format Artículo
publishedVersion
author Britos, Braulio
Hernandez, Manuel
Robles, Miguel
Trupkin, Danilo
author_facet Britos, Braulio
Hernandez, Manuel
Robles, Miguel
Trupkin, Danilo
author_sort Britos, Braulio
title Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
title_short Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
title_full Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
title_fullStr Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
title_full_unstemmed Land market distortions and aggregate agricultural productivity: Evidence from Guatemala
title_sort land market distortions and aggregate agricultural productivity: evidence from guatemala
publisher Instituto Interdisciplinario de Economía Política (IIEP UBA-CONICET)
publishDate 2022
url https://ojs.economicas.uba.ar/DT-IIEP/article/view/2547
https://repositoriouba.sisbi.uba.ar/gsdl/cgi-bin/library.cgi?a=d&c=dociiep&d=2547_oai
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AT hernandezmanuel landmarketdistortionsandaggregateagriculturalproductivityevidencefromguatemala
AT roblesmiguel landmarketdistortionsandaggregateagriculturalproductivityevidencefromguatemala
AT trupkindanilo landmarketdistortionsandaggregateagriculturalproductivityevidencefromguatemala
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AT trupkindanilo distorsionesenlosmercadosdetierrayproductividadagricolaagregadaevidenciadeguatemala
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