1. Property Rights and Land Reform

2. General Issues at Stake
The agenda of the property rights discussion gets much more “left-wing” when issues of land rights are at stake
Distinction between “use value” and “exchange value”

3. General Issues at Stake
The efficiency case for property rights in land are less strong, in particular in development context
Inverse relationship between farm size and land productivity

4. The history of collectivisation and decollectivisation
Revolutionary redistribution initially created small peasant farmers.
Output typically increased but with regulated prices market provision does not increase
Collectivisation allows better extraction but creates disincentives
e.g. in Soviet Union, 20% of agricultural output is produced on the 2% of land remaining private

5. Decollectivisation
Often supporting state infrastructure is removed in the process
“Share privatisation” puts manager in charge of large agricultural units
leased back by farmers
still about 80% of agricultural land is tilled under leasing arrangements
decollectivisation resulted in reduction of output and labour productivity

6. Resistance against Privatization
normally small holders are happy to take over land as private property

7. Resistance against Privatization
Kazakhstan in May 2016:
Unrest following plans to strengthen property rights in land, in particular
lengthen period of lease from 10 to 25 years for companies with up to 50% foreign ownership
introduce auction of land to locals
facilitate transfer of ownership
restrict subletting