PROPERTY RIGHTS AND INVESTMENT IN URBAN SLUMS

By Erica M. Field. 2005

414 citations recorded by the source corpus.

This paper examines the effect of changes in tenure security on residential investment in urban squatter neighborhoods. To address the endogeneity of property rights, I make use of variation in ownership status induced by a nationwide titling program in Peru. In a difference-in-difference analysis, I compare the change in housing investment before and after the program among participating households to the change in investment among two samples of nonparticipants. My results indicate that strengthening property rights in urban slums has a significant effect on residential investment: the rate of housing renovation rises by more than two-thirds of the baseline level. The bulk of the increase is financed without the use of credit, indicating that changes over time reflect an increase in investment incentives related to lower threat of eviction. (JEL: O12, O18, P25, P26) Copyright (c) 2005 The European Economic Association.

Subfields: Economics and Econometrics, Soil Science, Urban Studies

View Paper: https://www.semanticscholar.org/paper/6800a3b194df2858374a71d02973955d4ee9ae22

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

In Soil Science

In Urban Studies

Citations in the corpus

The limits of land titling and home ownership (2009, background): “Field, E (2005), “Property rights and investment in urban slums”, Journal of European Economic Association Vol 2, No 3, April–May, pages 279–290.”
Impacts of Land Certification on Tenure Security, Investment, and Land Market Participation: Evidence from Ethiopia (2011, background): “In urban areas, efforts to enhance tenure security have increased self-assessed land values (Lanjouw and Levy 2002), investment in housing (Galiani and Schargrodsky 2005), and female empowerment (Field 2005).”
Impacts of land certification on tenure security, investment, and land markets: evidence from Ethiopia (2008, background): “In urban areas, efforts to enhance tenure security have led to higher levels of self-assessed land values (Lanjouw and Levy 2002), increased investment in housing (Galiani and Schargrodsky 2005) and female empowerment (Field 2005).”
Cities in Developing Countries: Fueled by Rural–Urban Migration, Lacking in Tenure Security, and Short of Affordable Housing (2015, methodology): “A pair of additional papers by Field (2005, 2007) focuses on the effect of tenure insecurity (and the resulting need to defend the squatter’s dwelling) on labor force participation as well as the effect on investment in property improvements. A final paper by Hidalgo et al. (2010) studies land invas”
Shelter from the Storm: Upgrading Housing Infrastructure in Latin American Slums (2014, methodology): “Morever, using a difference-in-difference identification strategy, Field 2005) finds that strengthening property rights in urban slums in eru has a significant effect on housing renovation investment. hat author finds that the increase in housing investment was ainly financed without the use of…”
A Theory of Urban Squatting and Land-Tenure Formalization in Developing Countries (2008, background): “…on land tenure formalization, both for rural areas (see Feder et al., 1988, Feder and Nishio, 1998, and Deininger, 2003) and for urban areas (see Field, 2005 and 2007, Galiani and Schargrodsky, 2004, Di Tella et al., 2007), exclusively focuses on some specific potential consequences of land…”
Credit Constraints, Job Mobility, and Entrepreneurship: Evidence from a Property Reform in China (2012, neutral): “Pr(yit = 1) = g(α1TreatIndi ∗ Postt + α2Postt + α3TreatIndi ∗ Postt ∗ h̃i + α4TreatSpousei ∗ Postt +α5TreatSpousei ∗ Postt ∗ h̃i + α6xit + γi + it) (18)”
Incentives and the De Soto Effect (2012, background): “[16] Field, Erica [2005], “Property Rights and Investment in Urban Slums”, Journal of the European Economic Association, Papers and Proceedings, 3(2-3), 279-290.”
Land Registration, Governance, and Development : Evidence and Implications for Policy (2009, background): “In Peru, evidence on improvements in housing between 1994/95 and 1999/2000 suggests that, for titled households, rates of house renovation increased more than two-thirds above baseline levels, though most of the increase was financed out of pocket rather than through credit (Field 2005).”
Industrial land development in urban villages in China: A property rights perspective (2014, background): “The change of land property rights affects land development and economic performance (Besley, 1995; Field, 2005; Galiani, 2010; Goldstein & Udry, 2008).”