Land Deals in Africa: Pioneers and Speculators

22 Pages Posted: 24 Nov 2011

See all articles by Paul Collier

Paul Collier

University of Oxford - Blavatnik School of Government

Anthony J. Venables

University of Oxford; Centre for Economic Policy Research (CEPR)

Date Written: November 2011

Abstract

Much African land currently has low productivity and has attracted investors purchasing (or leasing) land as a speculative option on higher future prices or productivity. If land deals are to be beneficial they need to induce productivity enhancing investments. Some of these will be publicly provided (infrastructure, agronomic knowledge), and some can only be provided by ‘pioneer’ investors who discover what works and who create demonstration effects. Such pioneers can be rewarded (incentive compatibly) for the positive externalities they create by being granted options on large areas of land. However, pioneers must be separated from speculators by screening and by requirements to work a fraction of the land.

Keywords: Africa, farmland, land deals, lease, rent

JEL Classification: O13, O55, Q1

Suggested Citation

Collier, Paul and Venables, Anthony J., Land Deals in Africa: Pioneers and Speculators (November 2011). CEPR Discussion Paper No. DP8644. Available at SSRN: https://ssrn.com/abstract=1964134

Paul Collier

University of Oxford - Blavatnik School of Government ( email )

10 Merton St
Oxford, Oxfordshire OX1 4JJ
United Kingdom

Anthony J. Venables

University of Oxford ( email )

Mansfield Road
Oxford, Oxfordshire OX1 4AU
United Kingdom

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
6
Abstract Views
517
PlumX Metrics