RT Journal Article
SR Electronic
T1 Transaction Costs and the Value of Mining Claims
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 371
OP 384
DO 10.2307/3147131
VO 77
IS 3
A1 Gerard, David
YR 2001
UL http://le.uwpress.org/content/77/3/371.abstract
AB This paper examines the relationship between transaction costs and the value of full title to mining claims staked under the 1872 Mining Law. Miners can either acquire full title to their claims (known as a mineral patent) or mine unpatented claims. The costs of enforcing claim rights is lower when the claimant holds full title, but the patenting process is costly. The decline in claim disputes after the turn of the century reduced the value of full title, and the demand for patents decreased. An analysis of data from 12 western states for the period 1882–1932 is consistent with this argument. (JEL Q31)