The impact of land fragmentation on household income: Evidence from rural Vietnam

Quang Tran, Tuyen and Van Vu, Huong (2019): The impact of land fragmentation on household income: Evidence from rural Vietnam. Forthcoming in: Land Use Policy , Vol. 89, No. December (10 October 2019): pp. 1-22.

Abstract

Our study provides evidence that land fragmentation has negative consequences for household income, possibly because of its negative effects on crop income in ruralVietnam. Notably, using the Instrumental Variables (IV) method, we find that the negative effect is much greater after addressing the endogeneity of land fragmentation. IV analysis, therefore, suggests that a conventional approach which often uses the Ordinary Least Squares (OLS) method is likely to underestimate the impact of land fragmentation on rural households. Also, the finding implies that reducing land fragmentation would minimize its negative consequences for household income by reducing its negative effect on crop income.

• Item Type: MPRA Paper
• Language: English
• Keywords: Cropland; Endonegeity; Land law 1993; Land reform; Fragmentation; Household income, rural Vietnam
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture > Q12 - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q1 - Agriculture > Q18 - Agricultural Policy ; Food Policy

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