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Misallocation in Indian Agriculture

Marijn Bolhuis et al.

American Economic Journal: Macroeconomics2026https://doi.org/10.1257/mac.20210358article
AJG 4ABDC A*
Weight
0.50

Abstract

We exploit substantial variation in land-market institutions across Indian states and detailed household-level panel data to assess the effect of land-market distortions on agricultural productivity. We develop a model of heterogeneous farms and distorted land markets, featuring (i) state-level barriers to land-market participation and (ii) idiosyncratic (farm-level) distortions to farm size. We separately identify and estimate the two sources of land-market distortions in each state. We find substantial differences across states in rental barriers with large negative effects on agricultural productivity. Distortions associated with land-market participation contribute substantially to agricultural productivity differences across Indian states. (JEL D24, O13, O18, Q12, Q15, Q24)

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https://doi.org/https://doi.org/10.1257/mac.20210358

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@article{marijn2026,
  title        = {{Misallocation in Indian Agriculture}},
  author       = {Marijn Bolhuis et al.},
  journal      = {American Economic Journal: Macroeconomics},
  year         = {2026},
  doi          = {https://doi.org/https://doi.org/10.1257/mac.20210358},
}

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Misallocation in Indian Agriculture

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Evidence weight

0.50

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.50 × 0.4 = 0.20
M · momentum0.50 × 0.15 = 0.07
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

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