The constitutional reforms undertaken in Mexico in 1992, as well as the systematic implementation of a program of land rights regularization (Procede), aimed to improve the security and transferability of property rights in order to create the pre-conditions for better functioning of factor markets in rural areas. The paper examines the extent to which this has materialized by exploring systematic differences over time between certified and non-certified ejidos as well as the private sector. We find that land rental markets function better in ejidos that underwent Procede, where there was also a marked increase in households' use of common pasture land. At the same time, neither the reforms nor Procede appear to have had much impact on land sales markets and ejidatarios' credit access. Implications for policy and program design are discussed.


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