Logo
Munich Personal RePEc Archive

Land Use Restrictions, Misallocation in Agriculture, and Aggregate Productivity in Vietnam

Le, Kien (2018): Land Use Restrictions, Misallocation in Agriculture, and Aggregate Productivity in Vietnam.

This is the latest version of this item.

[thumbnail of MPRA_paper_99379.pdf]
Preview
PDF
MPRA_paper_99379.pdf

Download (2MB) | Preview

Abstract

This paper evaluates the effects of restricted land use rights on aggregate productivity using micro-level data within a quantitative model. In particular, I exploit the Rice Land Designation Policy in Vietnam, which forces farmers to produce rice on almost 45% of land plots. I use digitized versions of Vietnam’s Local Land Use Atlas and Global Agro-Ecological Zones database to construct a micro-spatial dataset that shapes the model features and allows me to compare the restricted against a counterfactual efficient allocation. The main findings suggest that eliminating all land use restrictions leads to an 8.03% increase in real GDP per capita. While misallocation in agriculture has been studied extensively, the paper highlights a novel source of misallocation also prevalent in other countries such as China, Myanmar, and Uzbekistan.

Available Versions of this Item

Atom RSS 1.0 RSS 2.0

Contact us: mpra@ub.uni-muenchen.de

This repository has been built using EPrints software.

MPRA is a RePEc service hosted by Logo of the University Library LMU Munich.