The (Lack of) Impact of Government Land Titling

This paper estimates the ability of government land titling to achieve the positive benefits associated with secure property rights institutions. Specifically, we analyze the impact of government land titling in rural Peru to provide collateral for a loan, increase investment opportunities, and promote entrepreneurship. We find that land titling does not achieve these positive benefits associated with secure property rights. Our findings suggest that government land titling is not an automatic avenue through which countries can achieve secure property rights institutions, and that alternative solutions should be considered.