Variables in the Model
Variable | Definition |
---|---|
Chosen by migrant | |
f | Proportion of land left fallow |
Chosen by landlord | |
G | Size of grant |
Parameters | |
T | Land available to be granted |
w | Landlord’s outside income in the second |
r | period Landlord’s return in the second period |
θ | Landlord’s return if r > 0 |
π | Probability that r > 0 |
q | Marginal cost of expropriation |
P | Return on land left fallow |
c | Subsistence needs of migrant |
e | Tribute per unit of land granted |
b | Discount factor |
Other variables | |
yj,kk | Income of i in period j under conditions k |
![]() | Expected discounted utility of i in period j |
α(f) | Probability of expropriation |