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When Good Policy Meets Bad Politics: Property Rights, Land Amalgamation, and Urbanization in India

Indian cities are facing challenges due to their low-rise structures and sprawling slums that are projected to increase with the growth of urban populations in the future. To cope with this trend and take advantage of agglomeration externalities, India needs to adopt a more upward, pyramid-like approach with increased density. Although strengthening property rights has been suggested as a solution, India’s fragmented land ownership system makes this option difficult.

Previously, the Indian government used eminent domain to acquire and amalgamate land for industrial or infrastructural use, but this led to significant political opposition in the 2000s. As a result, the 2013 Land Acquisition Act was passed, which narrowed the circumstances under which land could be acquired, increased compensation payments, and extended those payments to non-owners who relied on the land for their livelihoods. While this approach has ensured political acquiescence among rural and slum dwellers, it has created a problem for private businesses that require land for property or industrial development, causing a significant time and cost burden.

This political reality, while necessary for a democratic India, may not be conducive to good economics and may lead to dysfunctional urbanization.

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A ray of light interpreted as god

Was God a Good Urban Planner?

Men who found cities tend not to be very humble. Please note, I mean ‘found’ as in ‘establish’, not ‘find’. Finding lost cities is far too exciting for this more

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A Zambian Road to Nowhere

A Zambian Road to Nowhere: The History of Big (Road) Infrastructure and the 2011-2022 Zambian Road-Building Boom

For decades, policymakers, donor organizations, and academics have engaged in a debate over economic growth in sub-Saharan Africa, proposing different policy responses over time. In recent years, there has been a renewed emphasis on the significance of infrastructure, especially due to the exorbitant transportation costs in the region. The question remains: can improved road infrastructure help sub-Saharan Africa surmount the geographic distance barriers that impede economic growth? This paper seeks to delve into the potential long-term economic effects of Zambia’s road construction boom between 2011 and 2022.

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November 16-18, 2023 | Kigali, Rwanda

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