Property Rights without Transfer Rights: A Study of Indian Land Allotment

Christian Dippel, Dustin Frye, Bryan Leonard

Governments often institute transferability restrictions over property rights to protect owners and communities, but these restrictions impose costs: lowering property values, limiting investment, and increasing transaction costs. We study the long-run impacts of transferability restrictions using a natural experiment affecting millions of acres of Native American reservation land, by comparing non-transferable allottedtrust parcels with transferable fee-simple parcels. We use satellite imagery to study differences in land use across tenure types by leveraging fine-grained fixed effects to compare immediate neighbors. We find that fee-simple plots are 13% more likely to be developed and have 35% more land in cultivation.

Event: World Bank Land Conference 2024 - Washington

Only personal, non-commercial use of this document is allowed.

Document type:Property Rights without Transfer Rights: A Study of Indian Land Allotment (1463 kB - pdf)