Land rights, Social capital and investments in sustainable management practices and productivity enhancing inputs in Ghana

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The proposed research project aims at analyzing the impacts of land tenure rights and social capital on farmers’ investments in sustainable management practices and productivity-enhancing inputs. The theoretical emphasis on the benefits from more secure land rights is at variance with the empirical literature, particularly in Sub-Saharan Africa. Meanwhile a growing body of empirical evidence suggests that social capital and especially social networks may be equally important in promoting investments. Even some linkages between social capital and land tenure rights have been identified. However, very little empirical work is available on these linkages and how they both influence farmers’ investment in sustainable management practices. The proposed research project intends to contribute to closing these gaps by specifying a comprehensive model of farmers’ investment behavior that considers both the impacts of land tenure arrangements and social capital on investment and farm productivity. The empirical analysis will make use of data being collected in the Brong-Ahafo region of Ghana. Econometric models will analyze interdependencies and the influence of land tenure rights and social capital on investment and farm productivity. Qualitative analysis of perceived needs of the farmers will be undertaken to complement the econometric analysis.