5. Impacts of Institutional Factors on Land Use. 5.1. Regime Property Rights in Land (1) (a)Common (open access) land  Belong to no one  Right to use.

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5. Impacts of Institutional Factors on Land Use

5.1. Regime Property Rights in Land (1) (a)Common (open access) land  Belong to no one  Right to use for everyone, with clear obligation (b) State land  Belong to the State  The state  abstraction of citizens  The government  acting as agent to the state

5.1. Regime Property Rights in Land (2) (c) Private land  Belong to individuals  With exclusive rights for benefits and costs (d)Characteristics of efficient private rights in land  Completeness  Exclusivity  Transferability  Enforceability

5.2.Common Land: Issue of Overuse (1) (a)Hardin’s Theory  tragedy of the common  No incentive for conservation of the land  Concern  only maximization of personal gain at the short run  Consider the case of common land for pasture (b)Hardin’s Theory  Privatization is a solution

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