The Market of Lands for Agricultural Purposes: The Practice of Constraints

Abstract

The study presents the analysis of ways of formation of land utilization of agricultural organizations, private and subsidiary farms, examines the size and procedure for land payments, intensity of annual land turnover based on the query held in 3 Russian regions. The study shows that low demand and insufficient competition for the land for agricultural purposes, lack of market information, administrative and organizational barriers are the main constraints on land turnover. The attempt is made to measure transaction costs concerned with registration of rights of land ownership.