How can land reform promote the economic goals of equity and growth?
The theory is that ‘Land reform’, which is used to mean taking land from large land owners and giving it to the landless, moves a factor of production (land) from those who have lots to those who have little, thus increasing equity, as it is felt to be a fairer allocation. The argument that it promotes growth is in my opinion quite weak, but centres on the argument that big farmers are less efficient or even incompetent. It is also sometimes also argued that the labourers to whom the farm is transferred to will be better farmers than the land owner. Land reform can go very badly wrong, as it did in Zimbabwe. It often also involves taking away land from it’s owners with little or no compensation, which can damage the confidence of foreign investors and discourage them from investing in the country, damaging growth. I assume this is an essay. If it is a question you have to answer, your answer should focus on how land reform PROMOTES the ECONOMIC goals of equity and growth. I have capita
