Journal of Political Economy Vol. 130 No. 1 2022
Cooperative Property Rights and Development: Evidence from Land Reform in El Salvador
Abstract
In cooperative property rights systems, workers jointly own and manage production, whereas in outside-ownership systems, an owner contracts workers. Despite a rich literature on how the allocation of property rights matters for specialization, efficiency, and equity, little causal evidence exists. During a land reform in El Salvador in 1980, the military government reorganized properties owned by individuals with cumulative landholdings over 500 hectares into cooperatives; properties below this threshold remained as outside-owned properties. Using the discontinuous probability of cooperative formation, I provide evidence on the effects of cooperative property rights relative to outside ownership on specialization, productivity, and worker equity.
- DOI
- 10.1086/717042
- Volume
- 130
- Issue
- 1
- Pages
- 48-93
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref