The Impact of Institutional and Land Use Change on Local Incomes in Chilean Patagonia.

Many developing rural economies depend on natural capital stocks for generating income and wealth. However, common property natural resources are often over-exploited. One method of solving over-exploitation is privatisation of the resource. In Palena, Chile, the privatisation of common-property gra...

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Published in:Journal of Development Studies Vol. 55; no. 2; pp. 191 - 209
Main Authors: Behrer, A. Patrick, Manning, Dale T., Seidl, Andrew
Format: Article
Published: Taylor & Francis Ltd Feb2019
Subjects:
Online Access:View this record in EBSCOhost
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      dt: Feb2019
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        10.1080/00220388.2017.1385766
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        atl: The Impact of Institutional and Land Use Change on Local Incomes in Chilean Patagonia.
      aug:
        au:
          Behrer, A. Patrick
          Manning, Dale T.
          Seidl, Andrew
        affil:
          Kennedy School, Harvard, Cambridge, MA, USA
          Colorado State University, Fort Collins, CO, USA
      su:
        Land use
        Rural development
        Land tenure
        Land management
        Ranching
      sug:
        subj:
          Land use
          Rural development
          Land tenure
          Lessors of Other Real Estate Property
          Administration of Urban Planning and Community and Rural Development
          Dual-Purpose Cattle Ranching and Farming
          Beef cattle ranching and farming, including feedlots
          Land management
          Ranching
      ab: Many developing rural economies depend on natural capital stocks for generating income and wealth. However, common property natural resources are often over-exploited. One method of solving over-exploitation is privatisation of the resource. In Palena, Chile, the privatisation of common-property grazing land facilitated a change in land use from grazing to tourism activities. We present a theoretical model that demonstrates that privatisation that leads to land use change has the potential to increase local wages. To resolve theoretical ambiguities, we calibrate a local general equilibrium model and find that privatisation and a switch to tourism resulted in higher wages in the local economy of Palena. This finding contributes to the ongoing investigation of the local costs and benefits of resource privatisation in developing countries.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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