Capital accumulation with and without land market liberalization: Beyond the "win-win" situation

Artikel

This paper examines the effect of land market liberalization on the dynamics of capital accumulation. It is shown that the land market liberalization, which is accompanied with the transfer of agricultural technology, may not always offer a 'win-win' outcome for developed and developing countries. Improved agricultural productivity generates a growth enhancing externality. However, land market liberalization affects the balance between the equalizing force of the diminishing returns technology and the un-equalizing force of the low income elasticity of the agricultural commodity demand. As a result, land market liberalization accompanied with the transfer of agricultural productivity, may not always guarantee a 'win-win' outcome for developed and developing countries. If improvement of agricultural productivity is insignificant then land market liberalization can cause 'win-lose' situation for developed and developing countries. This result suggests that one should be very careful in a policy proposal designed to foster the process of development through foreign land ownership. It is important to recognize that apart from benefits, foreign land ownership also creates a disadvantage for capital accumulation and causes the magnification of the world income inequality.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Journal: Agricultural and Food Economics ; ISSN: 2193-7532 ; Volume: 1 ; Year: 2013 ; Pages: 1-16 ; Heidelberg: Springer

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Economic Growth of Open Economies ; Macroeconomic Analyses of Economic Development ; Land Use Patterns
• Thema: dynamics of capital accumulation ; land market liberalization ; transfer of agricultural technology

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Vachadze, George
• Ereignis: Veröffentlichung
• (wer): Springer
• (wo): Heidelberg
• (wann): 2013

Weitere Informationen

• DOI: doi:10.1186/2193-7532-1-2
• Handle: http://hdl.handle.net/10419/108903
• Letzte Aktualisierung: 10.03.2025, 11:43 MEZ